He global dollar erased initial gains and was trading lower against the euro on Friday after data showed U.S. job growth slowed sharply in October amid disruptions from hurricanes and worker strikes.
Nonfarm payrolls increased by 12,000 jobs last month after increasing by 223,000 in September, the agency reported Friday. Department of Labor, Bureau of Labor Statistics. Economists polled by Reuters had forecast an increase of 113,000 jobs.
He euro hit a more than two-week high against the dollar and was trading up 0.12% at $1.0897. He dollar indexwhich tracks the currency against six major currencies, fell 0.14% to 103.72.
The pound was also under pressure on Thursday, but strengthened against both the euro and the dollar this day, to $1.2914 and 84.11 pence per common currency.
He japanese yenalso recently volatile, weakened on Friday, with the dollar rising 0.5% to 152.76 yen, after falling 0.9% a day earlier when the Bank of Japan (Boxwood) left the door open to a rate hike at the end of the year.
Markets cautiously began what could be a momentous month, with stocks stable and yields treasury bonds near four-month highs.
The broad European index STOXX 600 managed to recover and rose 0.6%, although it was heading for its worst week in almost two months. These gains were offset by the decline in asian bagsparticularly in Japan.
US markets, which fell on Thursday, should see some relief later in the day. The futures of Nasdaq rise 0.4% thanks to a 5.3% increase in amazon.
Markets are currently almost fully pricing in a quarter-point rate cut next week at the policy meeting. Federal Reserve (Fed).
Beyond that, things depend in part on the outcome of Tuesday’s presidential election in the United States. Polls point to a very close race between Kamala Harris and Donald Trump, although investors have been betting that the Republican candidate could be president again.
“The election has definitely boosted the market this week and, with the state of the US economy, probably explains why bond yields have been rising,” said Yvan Mamalet, senior economist at Kleinwort Hambros.
The benchmark 10-year Treasury yield last rose 1 basis point to 4.30%, just below the nearly four-month high of 4.339% hit earlier in the week.
Source: Ambito
