He dollar rebounds against euro and the latter it yields 0.6% to $1.08, in the first European operations. However, the European currency remained well above the minimum 20 years of $0.953 reached in September.
He dollar indexwhich follows the evolution of the US currency against its main peers, rises 0.9% to 102.535 units.
He and in falls off to 131.03 units per dollar. The pound sterling loses 1.2%at $1.20, after losing 1.2% the day before.
On Thursday both the European Central Bank and the Bank of England decided to raise their interest rates in an attempt to control inflation and bring it closer to the 2% annual target.
The employment report from the Department of Labor showed that non-farm payrolls increased by 517,000 positions from work last month. Data for December was revised up to reflect 260,000 jobs added, instead of the 223,000 previously reported.
The average hourly earnings increased by 0.3%, after having risen 0.4% in December. This reduced the year-on-year increase in wages to 4.4% from 4.8% in December. Economists polled by Reuters expected an increase of 185,000 jobs and a year-on-year rise in wages of 4.3%.
The surprisingly strong payroll data reversed Wednesday’s trenda day in which traders had increased bets that the Fed would stop raising the cost of borrowing after an increase of 25 basis points in March.
“After the Fed meeting, it looked like markets had the upper hand: a rate cut was still expected, rates and the dollar fell, and now, 48 hours later, it looks like the Fed has the upper hand again.” , said Mark Chandlerof Bannockburn Global Forex in New York.
Source: Ambito
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