Dollar treads water despite upbeat non-farm payroll amid waning wage growth

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Dollar treads water despite upbeat non-farm payroll amid waning wage growth

The American dollar had experienced a slight fall on Friday, the 5th of April 2019 despite a better-than-anticipated new job opening, as wage growth remained muted, posting a growth of 0.20 percent from previously forecasted 0.40 percent on a year-on-year basis.

Overall, there had been a set of mixed data released on Friday (April 5th), which marginally mired the momentum of American dollar. According to Friday’s (April 5th) data, the wage growth had slowed sharply in March, while more people had been driven out of labor force amid a slowing US economy, which has still been supporting a “patient” stance of Federal Reserve.

Average hourly earning surged slightly by 0.1 percent, missing analysts’ forecasts, while February had delivered a jump of 0.4 percent on the average hourly earnings. Citing that a pretty mixed data had unveiled itself on Friday (April 5th), the global head of currency strategy at Brown Brothers Harriman in New York, Win Thin said, “It’s a pretty mixed report.

The headline was a little bit better than expected, February was revised up slightly, but obviously the average hourly earnings was a big disappointment”. The reaction of American currency remained relatively muted over the Friday’s (April 5th) data and the American Dollar had experienced smaller sideways swing throughout the day.

After falling as much as 0.09% to 97.20 against a basket of six major currencies on average during the intra-day trading, the US dollar had managed to close the day with a slight gain of 0.07 percent to 97.36.