The US currency hit a three-week high against the euro, amid tensions in the Middle East.
He global dollar hit a three-week high on Wednesday after the national employment of ADP showed that private payrolls of USA increased more than expected in September, in the first movements after the massive attack with rockets Iran to Israel, that prompted the purchase of safe haven assets due to investor concerns about an escalation of the conflict in Middle East.
He dollar index, which measures the performance of the greenback in relation to a basket of six other internationally relevant currencies, rose 0.4% to 101.66, after rising 0.5% in the previous day, following the news that the “imminent attack” by Iran on Israel – in retaliation for the ground offensive that the Israeli army carried out in the Lebanon, territory of Hezbollah— was carried out on Jerusalem and Tel Aviv; and that since Tehran assured that there would be no more attacks if there was no further provocation – despite the fact that since USA and the government of Benjamin Netanyahu They said they would retaliate.
Meanwhile, the euro fell 0.26% to $1.1038 and the dollar strengthened 1.9% against the japanese yen at 146.29.
Employment data in the United States
Private payrolls increased by 143,000 jobs last month after increasing by 103,000 in August, the survey showed. National Employment Report from ADP on Wednesday. Economists polled by Reuters had forecast 120,000 new jobs.
“The ADP data was pretty good and points to a decent NFP data,” he said. Brad Bechtel, global head of FX at Jefferies in New York.
The report is expected to non-farm payrolls The government’s September forecast, to be released on Friday, shows that employers added 140,000 jobs during the month, while the unemployment rate held steady at 4.2%, according to economists polled by Reuters.
Traders are now pricing in a 35% chance of a 50 basis point cut at the Fed’s Nov. 6-7 meeting, down from 57% a week ago, the tool shows FedWatch of the CME Group.
The president of the Richmond Federal Reserve, Thomas Barkin, said on Wednesday that last month’s 50 basis point cut was an acknowledgment that its policy rate was “out of sync” with the state of the economy, but should not be taken as a sign that the battle against inflation has finished.
The non-manufacturing report of the Institute for Supply Management Thursday will also provide more clues about the strength of the US economy.
Source: Ambito
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