The dollar fell after rising briefly on Thursday after data showed that the labor market remained strong, raising the possibility that the Federal Reserve (the US central bank) will raise interest rates later this month.
The Labor Department said applications for state unemployment benefits for the first time recorded a moderate increase last week, while a report by ADP showed that the number of jobs in the private sector jumped last month, marking the largest increase since February 2022.
Later, a survey by the Institute for Supply Management showed that the US services sector grew faster than expected in June with an increase in new orders, which added to data indicating the resilience of the economy in the face of more tightening monetary policy.
The dollar index, which measures the performance of the US currency against a basket of six major currencies, including the euro and the yen, fell 0.18 percent to 103.13.
And the yen rose 0.39 percent to 144.09 against the dollar, as concerns about the global growth prospects overshadowed risk appetite, concerns stemming from strong monetary tightening from major central banks.
The British pound recorded its highest levels in two weeks against both the euro and the dollar, as financial markets bet that the Bank of England (the central bank) will raise interest rates to 6.5 percent early next year.
The euro rose 0.29 percent to $1.0884.
The Australian dollar fell 0.41% to $0.6625.
And the Chinese yuan recorded in the latest transactions of 7.2575 for the dollar in the foreign market, after it fell about 0.4 percent in the previous session.
2023-07-06 20:46:36
#dollar #falling #reports #strength #labor #market
