Currencies Overview: The US Dollar Recovers From Its Losses

The dollar rose in early European trade on Monday, but remained near a one-month low, as Friday’s disappointing jobs report dampened expectations of an early tapering.

At 9:04 am GMT, the DXY dollar index, which measures the greenback against a basket of six other currencies, rose 0.15% to 92.25 points, after falling to 91.941 points for the first time since August 4 on Friday.

The dollar was hit hard by Friday’s non-farm payroll release, and investors continue to digest the latest US jobs report on Friday, which showed that nonfarm payrolls were at 235,000 in August, with the lowest gain in seven months. This was negative for the dollar’s movement, as the Federal Reserve made a labor market recovery a condition for the start of the gradual tapering of assets, investors are now expecting a delay in the central bank’s start of the process, while the unemployment rate is at 5.2%.

USDJPY rose 0.1% to 109.80 yen, EURUSD fell 0.1% to $1.1875, far from last week’s high of $1.1909, and GBPUSD fell 0.1% to $1.3851.

The decline in the euro-dollar came despite positive economic data, as official figures released on Monday by the German Statistics Office showed that German industrial orders unexpectedly rose in July, recording their highest level since the start of the series of economic data releases in 1991 and indicating a strong start for the second half. in the largest economy in Europe.

The risk-sensitive AUDUSD also fell 0.2% to $0.7440, but remained not far from the previous session’s high of $0.7477, its peak since July 15. While we await the Reserve Bank of Australia Monetary Policy Committee meeting tomorrow and the announcement of the interest and monetary policy decision.