The dollar is on its way to its fifth weekly loss to work data that supports interest reduction

The dollar has extended its losses and recorded the longest decline chain since April 2023, following a report on the US labor market that showed sudden weakness, which the traders asked to expect the Federal Reserve for the benefit of this month. The “Bloomberg” index of the immediate dollar dropped 0.7% on Friday, and after the end of its fifth consecutive week of losses in a year in which more than 8% of its value was before a basket with competitive global currencies. “After this report, the markets are likely to take into account that the federal is taking a cash facilitation path,” says Jayati Bharadwaj, a TD security strategy. She added: “We keep our negative structural vision against the dollar while monitoring any short -term refusal.” You can care: The dollar is under pressure by Saddam Trump with the federal and the anticipation to lower interest rate on the dollar. Investors are preparing for the federal to resume the policy of monetary facilitation this month, while some traders begin to reduce a significant reduction by half a percentage, after US work data has provided more evidence of the economy and supports the labor market. Financial fears and the impact of customs duties imposed by US President Donald Trump also continue on the US currency. “The job report today was not good, and it promotes the belief that the federal is very late for the knees,” said Brad Pesitel, head of the Guesesses Department of Jefferies. He added: “The market expectations for further reduced interest rates, and the inflation report next week will be a separation for the dollar.” Bloomberg’s estimates indicate that inflation in the United States is expected to accelerate in August after staying at 2.7% two months to July, and consumer price index data will be published on Thursday. Also read: Uplance has increased the increase in the sticks with the expectation that US posts still bet on the weakness of the dollar. Traders bet on more twice the dollar. Negative bets by hedge funds and speculative investors against the world’s reserve currency were approximately $ 5.6 billion in the week ended August 26, according to the data of the committee for the trade contracts. Investors have taken sales centers to the dollar since early April. All international currencies competing around the dollar increased on Friday, as both the Swiss franc and the Japanese yen scored about 1%. While the Canadian dollar withdrew from its peers after the data showed the loss of Canada’s jobs for the second consecutive month, which increased the chances of the Canada bank to lower the interest rate this month.