The US dollar showed high volatility against other major currencies on Friday in the light of downbeat macroeconomic statistics from the United States. The data aroused doubts that the Federal Reserve will dare hike its key rate this month. The US non-farm employment grew less than expected.
The US Department of Labor reported that the US economy generated only 151,000 new vacancies last month, down from a gain of 275,000 jobs in July. Analysts had projected an increase of 180,000 positions.
The jobless rate stood flat at 4.9 percent, while the market had anticipated a slight drop to 4.8 percent.
Average hourly earnings in the US edged up by 3 cents, or 0.1 percent.
Meanwhile, trade balance data showed good results.
According to the Commerce Department, trade deficit narrowed by 11.6 percent in July to 39.470 billion dollars. Economists had predicted a slower decline to 40.300 billion dollars.
However, traders did not pay much attention to the trade balance data as it showed figures for July. Markets now will be waiting for the FOMC September meeting hoping for gradual monetary tightening. These expectations support the greenback against its major counterparts.
After touching daily lows around 95.30, the US dollar index turned higher to trade at 95.87 levels by the end of the trading day.
The Federal Open Market Committee meeting will be held on September 20-21. Currency strategists expect the US dollar to keep resisting its major rivals.