Home Economy Strong Dollar Odds Amid Weak U.S Jobs Report

Strong Dollar Odds Amid Weak U.S Jobs Report

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An unimpressive U.S. economic report had little impact on the safe-haven currency. Currency traders bet that the Federal Reserve won’t be swayed from beginning to taper off its asset purchases as early as November following the release of last week’s U.S employment report.

On Friday, the Labor Department reported a 194,000 increase in nonfarm payrolls. A rise of 500,000 jobs was forecast earlier by economists.

Despite the modest gain, analysts said, the Federal Reserve is unlikely to hold back on reducing its monthly bond purchases as soon as November, given the apparent sharp slowdown in the third quarter.

Until the Federal Reserve’s Nov. 2-3 policy meeting, September’s employment report is the last report available.

There is some disappointment in the Job Report, but the details are not as nefarious as the headline suggests, so the Fed is still on track to deliver tapering next month.

Against six major currencies, the dollar index was down 0.1% at…

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