The lock-step moves between the Dollar and Pound have meant both have fallen back against the Euro in the wake of the US employment release.
The US Dollar is outperforming its G10 rivals ahead of the month’s most important economic data release out of the US.
Stocks have soared and the dollar has fallen after August payrolls undershot expectations.
The US Dollar’s nascent recovery could hit the buffers on Friday should the prophecies of a leading global investment bank be proven true.
The GBP to USD exchange rate could see volatility spike when the US jobs report and wage data is released at 13:30 BST.
June’s stellar jobs report showed a massive rebound in payrolls - so why aren’t markets pricing in a rise in the probability of the Federal Reserve increasing interest rates?
Having fallen to 31 year lows against the Dollar there appears little letup in the pressure on Sterling.
We consider the latest views concerning the pound and US dollar in the wake of the ructions that hit markets following the release of June’s US Employment Situation report.
The US dollar exchange rate complex is under sustained selling pressure right across the board following the release of worse-than-expected employment data out of the United States.
The US dollar is firmly in focus on Friday the 6th with the prospect of the recent recovery continuing being dependent on the release of jobs data from the United States.
More losses for the dollar could be round the corner if labour data comes out lower on Friday.