TOKYO (Reuters) – The dollar was steady on Friday as traders held off on making big bets ahead of the closely-watched U.S. non-farm jobs report that could influence the course of near-term Federal Reserve policy.
The dollar index against a basket of six major currencies stood little changed 96.754, having spent the previous day in a tight range as the U.S. financial markets were closed for the Independence Day holiday.
Index - Trough - Week - US - Treasury
The index had fallen to a three-month trough of 95.843 last week as U.S. Treasury yield slumped to 2-1/2-year lows on expectations the Fed would cut interest rates this year, starting as early as this month.
The focus was now on whether Friday’s U.S. jobs report will help make or break the case for a rate cut later in July.
Economists - Reuters - US - Payrolls - June
Economists polled by Reuters are predicting U.S. non-farm payrolls to have increased by 160,000 in June from 75,000 in May.
“The dollar has been closely moving in correlation with U.S. yields and today will be no exception, with the bond market’s reaction to the jobs report likely determining the direction of currencies,” said Yukio Ishizuki, senior currency...
Wake Up To Breaking News!