Dollar Weakens After Release of US Jobs Data

The dollar went further down on after the release of the US jobs data. The information that was released has resulted in speculations that the Federal Reserve is more likely not raising interest rates until the second half of the year.

Last Friday, the employment data was closely monitored and showed that US non-farm payrolls increase by 126,000 in March. This figure was the smallest increase since December 2013 and way below the forecasted 245,000 value. The only positive data that came out was that hourly earnings had a gain of 0.3%.

This latest employment information is a chain of indicators that shows the US economy is not really doing so well and this makes the Fed more careful in decisions regarding raising interest rates.

The dollar deteriorated as U.S. Treasury values decreased as a result of the soft jobs data last Friday though the thin trading might also be due to the Good Friday holiday. The standard 10-year note yield dropped to a 2-month low of 1.8% last Friday. The final figure was 1.83%.