Dollar decline as focus turns to job data release ‎

Dollar fell from its highest level in four weeks against its major counterparts today, Friday, as investors await the jobs report, which may affect the course of US interest rate movements.

According to “Reuters”, the pound sterling recorded a slight increase after it compensated for the losses it suffered in the wake of the Bank of England’s (central) decision to raise interest by a quarter of a percentage point on Thursday.

Yen hovered near the average of its trading range this week, at a time when investors are trying to gauge the extent to which the Bank of Japan (the central bank) accepts higher returns in the wake of a sudden adjustment in the bank’s policy last week.

Meanwhile, the risk-sensitive Australian dollar rose as Chinese stock markets and US stock futures rebounded.

The dollar index, which measures the performance of the greenback against six major currencies, fell 0.07 percent to 102.38 in early Asian trading. Yesterday, the index recorded its highest level since July 7 at 102.84, but it lost its momentum later, with the monthly non-farm payroll report due on Friday.

However, the dollar rose to 142.64 yen, supported by an increase in long-term US Treasury yields, to the highest level in about nine months, at 4.198 percent, last night.

The British pound rose 0.17% to $1.27305, after falling to $1.2620 on Thursday for the first time since June 30 after the Bank of England’s decision, despite its warning that interest rates are likely to remain high for a while.

The euro rose 0.06% to $1.09585

The Australian dollar rose 0.5% to $0.65815, continuing its recovery after hitting a two-month low on Thursday.