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Currencies

Dollar gains in early trading before U.S. data released

Currencies

The dollar rose yesterday as the market awaited the release of key U.S. employment data.
The euro fell to 1.2677 dollars in early European trading from 1.2691 dollars late in New York on Thursday.
The dollar firmed to 118.08 yen from 117.63 yen late on Thursday.
Wall Street analysts expected Washington to announce later yesterday that U.S. non-farm job growth of 120,000 positions in September after payrolls rose by 128,000 in August.
"Although we expect U.S. payrolls to come in below the consensus forecast we are not convinced that the dollar will come under pressure today," BNP Paribas analysts said.
"On the other hand a reading in line with the consensus or even higher is likely to spark a dollar rally and push equity markets up to even higher levels," they added.
Little reaction
The euro, meanwhile, has reacted little to the European Central Bank's decision on Thursday to raise, as expected, interest rates and an accompanying press conference that confirmed market expectations for a further increase before year-end, probably December.
"Market expectations of a further ECB rate hike in December were sustained," HBOS analyst Steve Pearson said.
The yen weakened against the dollar with players reluctant to take positions ahead of the weekend given North Korea's threat to carry out a nuclear test, dealers said.
The euro was changing hands at 1.2677 dollars against 1.2691 dollars on Thursday, 149.69 yen (149.31), 0.6761 pounds (0.6753) and 1.5897 Swiss francs (1.5890).
The dollar stood at 118.08 yen (117.63) and 1.2542 Swiss francs (1.2516).
The pound was being traded at 1.8747 dollars (1.8790).
On the London Bullion Market, gold prices slipped to 571.70 dollars per ounce, from 573.30 dollars late on Thursday.


Updated : 2020-11-30 10:24 GMT+08:00