Dollar Surges on Strong US Jobs Report, Boosting Rate Hike Bets

economictimes.indiatimes.com —

The US dollar index surged Friday, heading for its largest daily gain in nearly five months, after a stronger-than-expected US payrolls report boosted expectations for a Federal Reserve rate hike in December. Nonfarm payrolls rose by 165,000 jobs in October, far exceeding the 65,000 forecast, while the unemployment rate dipped to 4.1%. Market odds for a December rate increase climbed to nearly 80%, according to the CME FedWatch Tool. The dollar rose 0.77% against a basket of currencies, with the euro falling 0.67% and sterling dropping 0.71%. Fed officials, including John Williams and Mary Daly, signaled further hikes are needed to curb inflation.


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