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news that the Nov NAHB housing market index unexpectedly rose to a 7-month high. Also, today’s slide in stocks has boosted some liquidity demand for the dollar.US weekly initial unemployment claims were 232,000 for the week ended October 18.  Weekly continuing claims rose +10,000 to a 2-month high of 1.957 million.Will Markets Be Wild Again This Week?Dollar Sees Support from Positive Empire Report and Reduced Fed Rate-Cut ExpectationsDollar Sees Support from Positive Empire Report and Reduced Fed Rate-Cut ExpectationsTired of missing midday reversals? The FREE Barchart Brief newsletter keeps you in the know. Sign up now!ADP reported that US employers shed an average of 2,500 jobs per week in the four weeks ended November 1.The US Nov NAHB housing market index unexpectedly rose +1 to a 7-month high of 38, stronger than expectations of no change at 37.US Aug factory orders rose +1.4% m/m, right on expectations.The markets are discounting a 49% chance that the FOMC will cut the fed funds target range by 25 bp at the next FOMC meeting on December 9-10.EUR/USD (^EURUSD) recovered from overnight losses and is up by +0.09%.  Signs of weakness in the US labor market are weighing on the dollar to the benefit of the euro after ADP reported US employers cut jobs this month.Central bank divergence is also supportive of the euro, with the ECB seen as largely finished with its rate-cut cycle, while the Fed is expected to cut rates several more times by the end of 2026.Swaps are pricing in a 4% chance of a -25 bp rate cut by the ECB at the December 18 policy meeting.USD/JPY (^USDJPY) today is down by -0.10%.  The yen today recovered from a new 9.5-month low against the dollar and turned higher after falling T-note yields sparked short covering in the yen.  Today’s sharp -3% slump in the Nikkei Stock index also boosted some safe-haven demand for the yen.  In addition, higher Japanese government bond yields were supportive of the yen after the 10-year JGB yield rose to a 17-year high of 1.761% today.The yen initially moved lower today on dovish comments from BOJ Governor Ueda, who said the BOJ was gradually adjusting monetary easing.  The yen also had a negative carryover from Monday when Japan’s weak Q3 GDP report sparked concern that Japan’s weak economy would bolster Prime Minister Takaichi’s case for an ambitious stimulus package that would substantially increase Japan’s debt burden. 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