U.S. Dollar Falls After Jobs Report Disappoints Investors
The U.S. dollar fell Friday as a weaker-than-expected jobs report pushed down Treasury yields.
The WSJ Dollar Index, which tracks the dollar against a basket of foreign currencies, lost 0.7% in a decline that accelerated after the 8:30 a.m. release of the jobs data.
Tweet on US Dollar market swings
The U.S. dollar fell Friday as a weaker-than-expected jobs report pushed down Treasury yields, via @dowjones#USDT #JobsReport #inflation pic.twitter.com/Ks14TrQVu6
— The_Journalbiz (@the_journalbiz) July 7, 2023
Chart by DowJones Market
Currencies typically rise and fall with the government-bond yields on their home turf. The 2-year Treasury yield, which is strongly influenced by expectations around central bank moves, is trading down at 4.927% Friday, from a close at 5.004% on Thursday. Yields fall as bond prices rise.
For the year, the WSJ Dollar Index is roughly flat, despite fluctuations as investors parsed how central banks around the world are responding to persistent inflation.
