Group 1 - The dollar index (DXY) recovered from a 1.5-month low, rising by +0.36% due to higher T-note yields strengthening interest rate differentials and sparking short covering in the dollar [1] - Preliminary benchmark payroll revisions indicated a loss of -911,000 jobs through March 2025, exceeding expectations of -700,000, signaling a weaker US labor market [3] - Markets are now pricing in a 9% chance of a 50 basis point rate cut at the upcoming FOMC meeting on September 16-17, with a 75% chance of a second -25 basis point cut at the October 28-29 meeting, leading to an overall -73 basis point cut in the federal funds rate by year-end [4] Group 2 - The EUR/USD fell by -0.50% due to a rebound in the dollar, with the euro pressured by a significant decline in French manufacturing production [5] - French July manufacturing production decreased by -1.7% month-over-month, worse than the expected -1.2% and marking the largest decline in 14 months [6]
Dollar Supported by Higher T-note Yields
Yahoo Financeยท2025-09-09 19:33