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US dollar drops ahead of US jobs report
Posted: 03 September 2010 0628 hrs

 
 
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NEW YORK: The US dollar slipped on Thursday against the euro and yen as investors braced for a highly anticipated monthly US jobs report.

The euro climbed to 1.2821 dollars in New York at 2100 GMT from 1.2807 dollars late Wednesday after the European Central Bank raised its forecast for the region's growth.

The dollar lost ground against the Japanese currency, fetching 84.30 yen compared to 84.42 a day earlier.

"Currencies and equities have consolidated ahead of Friday's non-farm payrolls report with the dollar trading slightly lower indicating that investors are bracing for a softer report," said analyst Kathy Lien of Global Forex Trading.

The Labour Department is widely expected by analysts to report on Friday that non-farm payrolls - combining both government and private jobs - shrank by 120,000 in August with unemployment edging up to 9.6 percent from the current 9.5 percent rate.

Market were a little relieved on Thursday after the department reported that the number of Americans filing new claims for jobless benefits fell faster than expected last week, extending a two-week decline.

Against other key currencies, the dollar fell to 1.0127 Swiss francs from 1.0156 on Wednesday while the British pound was down to 1.5401 dollars from 1.5450.

- AFP/de

 


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