Aug 4, 2012
NFP Report Rallies US Dollar Price
Written under: Business, Finance
U.S. stock prices rallied by 2 percent as the non-farm payrolls report went out. Moreover, the U.S. jobs report showed stronger-than-expected hiring but also a rise in the unemployment rate to 8.3 percent, which keeps alive the hope of further support for the economy from the Federal Reserve.
The jobs data came towards the end of a volatile week, with an ECB policy meetings that quite disappointed the market.
“The employment numbers came in better than anticipated, and that added some positive fuel to the fire,” said Ted Weisberg, a floor trader with Seaport Securities in New York.
The euro rose as high as $1.2386 on Reuters data and was last up 1.7 percent at $1.2385, on track for its best day since the end of June. The dollar gained 0.5 percent against the yen, to 78.58 yen, after hitting a two-week high of 78.77.
But it’s still too early to know if one can now buy a sterling silver cuff as risk aversion is still high with the Euro-debt crisis still having no clear sign of recovery.