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Dollar drops against peers after weaker-than-expected jobs report
Saturday, 6 September 2025 03:15 WIB | US DOLLAR |USDGBP/USDEUR/USDUSD/JPY,

The U.S. dollar fell sharply against major peers on Friday after crucial monthly jobs data showed that American employers hired fewer workers than expected, which affirms weakening labor market conditions and likely guarantees a Federal Reserve interest rate cut.

Labor Department data showed that nonfarm payrolls increased by only 22,000 jobs last month, far short of the 75,000 positions estimated by economists polled by Reuters.

The dollar fell across the board following the report. It weakened 0.70% to 147.44 against the Japanese yen , but was still on track for the second straight week of gains. The greenback dropped 0.91% to 0.79830 against the Swiss franc and was poised for the fourth consecutive week of losses against the currency.

The euro was up 0.55% at $1.171675 and was set to notch a weekly gain against the dollar. The dollar index fell 0.48% to 97.767 and was set to shed 0.23% this week.

U.S. Treasury yields fell. The rate-sensitive 2-year note yield fell 8.1 basis points to 3.511%. The yield on benchmark U.S. 10-year notes fell 8.8 basis points to 4.088%.

Traders are now pricing a 10% chance of a 50-basis point cut at the Fed's next meeting later this month, while the probability of a 25-basis point cut is at nearly 90%, according to the CME's FedWatch tool.

The pound rose versus a weaker dollar after Friday's news that British Deputy Prime Minister Angela Rayner resigned, after admitting to underpaying property tax on a new home, in a fresh blow for her boss, Prime Minister Keir Starmer.

It strengthened 0.51% to $1.35055 and was on track to gain 0.02% for the week.

Source : Reuters

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