Dollar Poised to Stay Weak After Friday’s United States Jobs Data

1007 GMT– The dollar might continue to have a hard time as the U.S. nonfarm payrolls report on Friday is not likely to reduce fret about a cooling U.S. economy, Commerzbank states. While the information might reveal a reasonably tight labor market, it would most likely need to be “incredible” to resolve financial issues, Commerzbank currency expert You-Na Park-Heger states in a note. “Of course that can not be left out however our financial experts anticipate a more slowing down in the variety of brand-new tasks.” More indications of a cooling economy would support market expectations that the Federal Reserve may begin cutting rate of interest in the 2nd half, she states. The DXY dollar index drops to a two-month low of 101.791. (renae.dyer@wsj.com)

Euro Rises Vs Dollar as Traders Compare US-Europe Banking Sectors

0927 GMT– The euro increases versus the dollar as financiers think about the health of Europe’s banking system in much better shape than the U.S., ING states. “Calming stress in U.S. cash markets are permitting a refocus on narrower EUR-USD rate differentials– having actually narrowed around 50 basis points given that early March,” ING expert Chris Turner states in a note. European Central Bank authorities Robert Holzmann recommended a 50bp rate increase remained in the cards for May, which appears not likely however works as a suggestion that the ECB lags the Fed in its tightening up cycle which the ECB will be much slower to relieve policy, he states. EUR/USD increases 0.2% to 1.0933 after earlier reaching a two-month high of 1.0940, according to FactSet. (renae.dyer@wsj.com)