01.04.2021: US stocks benefit from upbeat employment data (DJIA, DXY, USD/CAD, BTC/USD)

Yesterday, the S&P500 index closed with a 0.36% gain and the Nasdaq rose 1.5% intraday.
Investors welcomed impressive nonfarm employment growth in the ADP report. The US private sector added 517,000 jobs in March, much stronger than 176,000 jobs in February.
Besides, according to a weekly report from the US Labor Department, the number of continuing unemployment claims decreased to the level below 3.8 million last week.
Tomorrow, market participants are leaving for a long weekend as trading floors in many countries will be closed on Good Friday ahead of Easter. Experts foresee a further advance of US stocks today and next week after the holiday.
Today the US benchmark stock indices are trading mixed. Unlike the S&P500 and the Nasdaq, the Dow Jones slipped 0.3% to 33,000. Nevertheless, analysts expect it to trade in the corridor of 32,900 to 33,300.
As US President Joe Biden unveiled his plan of the infrastructure investments, the US dollar is holding firmly at multi-month highs against other major currencies as investors believe that fiscal stimulus and successful vaccination will help the US recover faster than other economies. Meanwhile, the US economic metrics prove that the domestic economy is getting back on track. So, experts are betting on further growth of the US dollar.
Today its index is facing resistance at near 93.40.
Other countries are less successful in the battle with the pandemic. Canada’s authorities are planning to introduce lockdown in the Ontario province. If restrictions are actually imposed, this will deal a blow to the service sector that accounts for 70% of Canada’s GDP. Lockdown is certainly bearish to the national currency. The USD/CAD pair is set to go up. The currency pair is now trading at about 1.2580, the same level as yesterday.
Bitcoin is trading steadily today. In the mid-day, the cryptocurrency hit a swing high of about 59,000 dollars per token and corrected downwards to the level of 58,200 – 58,800 dollars as expected earlier.
Bitcoin is still expected to break through the milestone 60,000 dollars at some time in the near future.
Today, large investment fund BlackRock added to its portfolio Bitcoin futures traded on the Chicago Stock Exchange. The news confirms growing interest in Bitcoin among institutional investors. So, the fact of breaking the psychological mark of 60,000 dollars is just a question of time.
Yesterday, US President Joe Biden presented a new 2 trillion-dollar investment plan aimed to re-ignite US economic growth. The recovery package means creation of 2 million jobs in the infrastructure, development of the renewable energy that also requires employees, aid for the elderly citizens, etc.
The market is positive about this large-scale investment plan to overhaul the US infrastructure and manufacturing. The project entails major legislative battle in Congress as lawmakers have to agree on a tax hike to ensure such massive funding. Meanwhile, Republicans have already targeted Biden’s proposal because it implies higher taxes on wealthy Americans and corporate profits.
A major risk for global financial markets comes from the third pandemic wave, especially in Europe. The US also reported a higher number of new cases in the last 24 hours. At the same time, a robust pace of mass vaccination is likely to contain the coronavirus resurgence.

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