The US Dollar Index (DXY), an index of the value of the US Dollar (USD) measured against a basket of six world currencies, trades on a negative note near 100. 15 during the Asian trading hours on Friday. The mixed delayed US jobs data failed to provide clarity on interest rates. Traders will take more cues from the preliminary reading of the US S&P Global Purchasing Managers Index (PMI) later on Friday. The Bureau of Labor Statistics (BLS) revealed on Thursday that the US economy created more jobs than expected in September, but a rise in the Unemployment Rate and downward adjustments to preceding months provide an uncertain picture for the US Federal Reserve (Fed) as it weighs whether to lower interest rates next month to support the labor market. A prolonged US government shutdown has delayed the release of key economic data, including jobs and inflation reports. Uncertainty in the US economy could weigh on the DXY in the near term. According to the CME FedWatch tool, Fed funds futures are now pricing in nearly a 39% chance of a 25 basis points (bps) rate cut at the Fed’s December meeting, down from 63% odds that markets priced a week ago. On the other hand, cautious remarks from the Fed’s officials might help limit the DXY’s losses. Cleveland Fed President Beth Hammack on Thursday reaffirmed her stance against further rate cuts, citing concern over current price levels. Meanwhile. Philadelphia Fed President Anna Paulson stated on Friday that she is approaching December’s policy meeting “cautiously,” adding that the central bank must carefully balance slowing labour momentum against lingering inflation risks.
https://bitcoinethereumnews.com/finance/us-dollar-index-declines-to-near-100-00-on-mixed-jobs-data-and-rate-cut-uncertainty/
