Dollar Index Hits Three Week High, Sees Muted Action Ahead Of Non Farm Payrolls Data

Published on Jul 07, 2023 12:16

The US dollar index is hovering around 102.70 mark in Asia after coming off a three week high above 103 in last session. Markets eyed mixed economic data and a weak undertone in the equities pushed up the safe haven demand for the US dollar. However, the dollar eased ahead of the critical US nonfarm payrolls data today, breaking under the key 103 level. Data out yesterday showed a slight moderation in the pace of growth of the US service sector. At 54.4 in June, the seasonally adjusted final S&P Global US Services PMI Business Activity Index fell slightly from 54.9 in May. Nonetheless, the latest data indicated a solid rise in business activity that was the second-fastest in just over a year. Companies noted that strong client demand and a sustained uptick in new business supported the latest expansion. The report said initial jobless claims rose to 248,000, an increase of 12,000 from the previous week`s revised level of 236,000.