The US Dollar has strengthened against all of its most traded peers and leapt to its highest level since 2010 against the Pound after employers more jobs than expected in June, boosting bets that the Federal Reserve will begin to slow its monetary easing stimulus programme.
The Pound Sterling/ US Dollar Exchange Rate is currently in the region of: 1.4904
According to the Washington based Labour Department, US payrolls leapt by 195,000 workers for a second straight month. Economists had been expecting a slower gain in June, projecting a rise of 165,000. The overall jobless rate remained at 7.6%. So far this year the number of new jobs added each month in the US increased by 189,000 compared to the average of 179,000 a month in 2011 and 2012.
“These are really strong numbers, and there was an expected strong Dollar response across the board,” Dan Dorrow, head of research at Faros Trading LLC said. “This suggests tapering sooner rather than later because the cumulative strong momentum is there.”
Friday’s closely watched report comes two weeks after Fed Chairman Ben Bernanke offered his upbeat assessment of the USA’s economic outlook and adds to market speculation that the Fed’s tapering could begin sooner than expected. The report also showed that hourly earnings rose by its highest margin since November.
With the continuingly positive outlook for the world’s largest economy, several economists now believe that the Fed could begin scaling back its bond purchases as early as September, with most expecting the programme to fully end in June 2014.
US Dollar (USD) Current Exchange Rates
The US Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.6676
The US Dollar/Euro Exchange Rate is currently in the region of: 0.7768
The US Dollar/Australian Dollar Exchange Rate is currently in the region of: 1.0912
The US Dollar/Japanese Yen Exchange Rate is currently in the region of: 99.9753
The US Dollar/Canadian Dollar Exchange Rate is currently in the region of: 1.0537
The Pound Sterling/ US Dollar Exchange Rate is currently in the region of: 1.4904
The Euro/US Dollar Exchange Rate is currently in the region of: 1.2872
The Australian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9164
The Canadian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9489
The New Zealand Dollar/US Dollar Exchange Rate is currently in the region of: 0.7830
(Correct as of 14:40 pm GMT)
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