US Dollar Trades Mixed; Kiwi Rises After Jobs Data
The US dollar traded mixed, with a broad gauge of its strength little changed, ahead of Federal Reserve speakers later. New Zealand’s dollar climbed against its Group-of-10 peers after the nation’s jobless rate rose less than expected in the second quarter.
The Bloomberg Dollar Spot Index held steady, while the yield on 2-year Treasuries rose 1bp at 3.74%
San Francisco Fed President Mary Daly is due to speak later, while colleagues Lisa Cook and Susan Collins will appear on a Boston Fed panel
NZD/USD gained 0.3% to 0.5921, snapping a two-day losing streak. Short covering from leveraged funds was seen against the dollar after New Zealand’s jobs data, according to an Asia-based FX trader
Unemployment rate in New Zealand climbed to 5.2% in the second quarter, compared to economists’ expectation for a reading of 5.3%. Market reaction was tempered given that the print was still the highest since the third quarter of 2020 in the latest sign of an economic slowdown.
EUR/USD edges 0.1% higher at 1.1581.
USD/JPY rose 0.1% to 147.77.
GBP/USD slips 0.1% to 1.3289.
UK Chancellor of the Exchequer Rachel Reeves is facing a £51 billion ($68 billion) shortfall to fill at the autumn budget, according to a prominent economic think tank.
Source: Bloomberg
