U.S. Dollar Sees 0.58% Weekly Drop Amid Soft Jobs Data

AI Summary

The U.S. dollar index decreased by 0.58% this week, marking its largest weekly drop since early April. June job growth slowed significantly, with nonfarm payrolls increasing by only 57,000, well below the expected 110,000. The labor force participation rate fell to a five-year low of 61.5%. Markets now assign a 52% chance for a Federal Reserve rate hike at the September meeting, down from 64%. Additionally, U.S. Treasury yields on two-year notes dropped by four basis points.