Dollar Weakens Ahead of Employment Data as Fed Rate Cut Bets Rise

Reported 1 day ago

The US dollar declined as traders increased expectations for a Federal Reserve interest rate cut this month, with the Bloomberg Dollar Spot Index dropping 0.2% before upcoming jobs data. Following comments from Fed officials, markets are now pricing in a 70% chance of a 25 basis point cut in December. Meanwhile, global economic uncertainties, particularly in France and China, could support the dollar against weaker foreign currencies. As December typically sees volatility for the dollar due to end-of-year portfolio adjustments, many investors are preparing for potential shifts in the currency's strength.

Source: YAHOO

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