2023-09-04 06:22:29
The dollar fell in cautious trading today, Monday, as investors assessed signs of slowdown in US jobs data, which reinforced expectations that the Federal Reserve (the US central bank) has likely reached the end of its monetary tightening cycle.
The dollar index, which measures the greenback against a basket of currencies, fell 0.048% to 104.18, but remained close to a two-month high of 104.44 touched on Aug. 25. The index rose 1.7 percent in August, snapping a two-month losing streak.
Given the closure of US markets on Monday, liquidity is likely to be thin and traders are reluctant to take big bets.
Data published on Friday showed job growth accelerated in the United States in August, but the unemployment rate jumped to 3.8 percent and wage increases slowed.
The yen rose 0.06 percent to $146.16. Since mid-August, the Asian currency has been trading around the psychologically important 145 level, as traders await any indications of the possibility of the authorities’ intervention to support the currency.
Japan intervened in the currency markets last September when the dollar rose above 145 yen, prompting the Finance Ministry to buy yen and push the exchange rate to about 140 yen.
The euro rose 0.06 percent to $1.078, while the pound sterling reached $1.2602, up 0.11 percent on the day.
The Australian dollar rose 0.2 percent to $0.6463 ahead of the Reserve Bank of Australia’s policy meeting tomorrow, Tuesday, during which it is expected to maintain its policies. Regarding cryptocurrencies, bitcoin rose 0.95 percent to $25,997.50, and ethereum rose 0.67 percent to $1,638.30.
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