Business News

Dollar slips ahead of US jobs data

TOKYO, (APP/AFP) – The dollar slipped against the yen and
euro Friday ahead of a US jobs report that will offer clues on what is in store for US monetary policy, while jittery investors sold emerging market currencies.
While Britain’s decision to leave the European Union has raised
questions about the outlook for the global economy, the release of June non-farm payrolls figures will be scrutinised for an idea about the Federal Reserve’s plans for interest rates.
The US central bank held off raising borrowing costs after its
meeting last month following a sharply lower May jobs report.
“The market’s focus is on the US jobs report,” Jeon Seung Ji, a
currency analyst at Samsung Futures in Seoul, told Bloomberg News.
“Numbers are expected to show some improvement, but this isn’t likely
to prompt a rate hike by the Fed.”
In Tokyo, the dollar dropped to 100.35 yen from 100.76 yen late
Thursday in New York, while the euro rose to $1.1078 from $1.1065.
The single currency weakened to 111.18 yen from 111.50 yen as
investors move into safe havens, worried about the uncertainty caused by Britain’s decision to leave the European Union.
With the turmoil caused by the Brexit vote fanning demand for the the
safe haven yen, talk is swirling about a possible Japanese intervention to protect its exporters.
On Friday, morning senior Japanese officials met to discuss
volatility on financial markets and the surge in the yen.