Summary Dollar sank to a five-month low against euro Thursday, suffering from Fed Reserve Chair comments.
NEW YORK (AFP) - The dollar sank to a five-month low against the euro Thursday, suffering from Federal Reserve Chair Janet Yellen s comments suggesting the global slowdown would delay a US interest rate increase.
Traders were bracing for Friday s US jobs report to see if one of the economy s strongest points, the labor market, is showing cracks.
Kathy Lien of BK Asset Management said the dollar had clawed back some ground toward the end of the day, possibly a sign investors were hoping a strong jobs report would boost the US currency.
The Labor Department reported initial US jobless claims rose by 11,000 last week, more than analysts expected, but still in a historically low trend.
The dollar sank to $1.1412 per euro, its lowest level in five and a half months, before paring back the loss to $1.1377 per euro by session s end.
"Non-farm payrolls is only important when it can be a game changer for Federal Reserve policy but Janet Yellen made it very clear that they have no intention of raising interest rates in April and unless there s significant improvements at home and abroad, rates will remain steady in June as well," Lien said.
