Weak US Job News Undercuts the Dollar

Economic Indicators - The dollar index fell by -0.49% on Thursday, influenced by a report showing US job cuts surged by 175% year-on-year in October, marking the largest increase in 22 years [1][3] - Year-to-date job cuts have exceeded 1 million, the highest since the pandemic, with employers announcing the fewest hiring plans since 2011 [3] Federal Reserve Outlook - Hawkish comments from Chicago Fed President Austan Goolsbee and Cleveland Fed President Beth Hammack indicated a preference for no additional Fed rate cuts, supporting the dollar [2][4] - Goolsbee expressed unease about ongoing interest rate cuts due to a lack of inflation data during the government shutdown, while Hammack emphasized concerns about high inflation and the need for a mildly restrictive monetary policy [4] Currency Movements - The euro rose by +0.49% on Thursday, supported by dollar weakness and optimistic comments from ECB Vice President Guindos regarding Eurozone growth [5] - However, negative factors for the euro included an unexpected decline in Eurozone retail sales and lower-than-expected German industrial production for September [5]