Global dollar falls after weak US economic data

He global dollar fell again despite the yen hitting a new all-time low, driven by weak economic data from USA and the consequences of the pessimistic comments made Federal Reserve System (FRS).

He dollar index — which measures the performance of the U.S. dollar against a basket of six other international currencies — fell 0.2 percent to 105.41 after news that private sector In June, 10,000 fewer jobs were created than expected.

The dollar fell after it became known that private payrolls In June, Americans’ incomes rose slightly less than expected, and initial requests for subsidies increased. unemployment, Both data are consistent with a slowdown in labor market growth.

Also weighed was a report that indicated that the sector services The US contracted last month and another showed a drop in industrial orders.

While the national employment report points to a slowing economy that will fuel a long-awaited rate reduction President’s comments for September Fed, Jerome Powellremained in an extremely pessimistic tone, which discouraged the workers.

Parallel Euro hit a three-week high and added 0.3% to $1.0781, while GBP It also became widespread.

The Yen Falls

These two currencies helped to neutralize the impact fall of the yenwhich fell 0.3% to 161.96 per dollar for the first time since December 1986. It also hit a record low of 173.80 against the euro.

Japanese officials have been silent on the yen and the finance minister this week. Shunichi Suzuki, On Tuesday, he limited himself to commenting that his movements were being monitored, and stopped short of repeating the usual warning that the ministry was prepared to act.

“Right now the currency market is asking the Japanese authorities to do something. There is a feeling that the markets will continue to put upward pressure on the dollar/yen until the Japanese authorities react,” he told Reuters. Michelle Metcalfe, from State Street Global Advisors.