Jalatama News

Dollar Stays Lower as Traders Weigh Taper Odds Before Jobs Data

The dollar remained lower against the majority of its major peers as traders speculated whether the U.S. economy is strong enough for the Federal Reserve to decide as early as next week to start reducing stimulus.

The greenback traded near the lowest this month against the euro before a report forecast to show U.S. jobless claims rose for the first time in three weeks. Demand for the dollar as a haven receded as the U.S. delayed a congressional vote on military action in Syria. The yen held gains after Japan’s machinery orders stagnated. The New Zealand dollar climbed to the highest in more than two weeks as the Reserve Bank signaled it may raise interest rates earlier than previously expected.

The dollar slipped 0.1 percent to $1.3318 per euro as of 9:51 a.m. in Tokyo from yesterday, when it fell 0.3 percent. It declined 0.2 percent to 99.68 yen, following a 0.5 percent drop in New York. Europe’s common currency traded 0.2 percent weaker at 132.76 yen.

The Bloomberg U.S. Dollar Index, which tracks the greenback against 10 major peers, slid 0.1 percent to 1,023.16, set for the lowest close since Aug. 20.

(Source: Bloomberg)