Friday, 4 August 2017

Dollar jumps as US job figures beat forecast with 209,000 additions

The dollar has rallied strongly against the pound after official figures showed better-than-expected US job figures and some encouragement on wage growth.

The greenback gained against major international currencies when the US Labour Department reported 209,000 net new jobs were created in July - almost 30,000 more than analysts had expected.

There was also an uptick in monthly wage growth - something the US central bank is watching closely - though the annual rate remained at 2.5%.

In a further boost to the economy, separate data also showed a shrinking in the US trade deficit - with exports at their highest level for two years.

The core employment figures were seen as bolstering the chances of a further interest rate hike this year as the Federal Reserve moves to put the financial crisis behind the country by looking to shrink its massive portfolio of bonds.

SKY     News.