© Reuters. The dollar is declining and the book ignores the uncertainty related to the Brexit
Investing.com – The dollar was trading at a low of three weeks against a basket of currencies on Monday after the latest u.s. report on jobs has highlighted a wage growth is sluggish.
The dollar index, which measures the greenback’s strength against a basket of six major currencies, was down 0.29% to 93,50 at 04:21 AM (08:21 AM GMT), the lowest level since June 14.
The index was down 0.48% on Friday after a wage growth slower than expected has slightly reduced the expectations of a fourth interest rate hike from the federal Reserve this year.
While wage growth has remained moderate, the ministry of Labor said that nonfarm payrolls increased by 213 000 in June.
The strong employment growth has helped to offset concerns over the escalation of the trade conflict between the United States and China after the entry into force of the new commercial rates Friday.
The dollar depreciated against the yen, with the USD / JPY at 110.40.
The euro rose, with the EUR / USD advancing 0.25% to 1,1774, the highest since June 14.
The single currency was boosted after data showing exports rose more than imports in may, indicating that the largest economy in the euro zone remains strong, despite tensions, global trade.
The pound sterling was also up against the dollar, with GBP / USD rising 0.53% to 1,3356, after recovering from a lower 1.3284.
The book was initially dropped following reports that the secretary of Brexit british, David Davis, resigned, dealing a potential blow to the First minister Theresa May.
But the pound sterling has bounced back quickly after indications that May would not face a violent reaction against his policy on Brexit, and hoped that “Brexit” more flexibility could be envisaged.
The pound was also stronger against the euro, with a decline of EUR/GBP 0.26% 0,8815.