USD/SGD rises as the indicators disappoint the market.
Evergreen buck is in a narrow range
On Monday, the evergreen buck traded in a narrow range against major currencies, after a decline on Friday due to worries about the tension in US-China trade relations as well as data showing that in March the American economy created the least number of jobs for six months.
Against a pack of six major currencies the US dollar index rallied 0.1% being worth 90.189 after a sag of 0.4% on Friday.
Versus the Japanese yen, the US currency tacked on 0.1% hitting 107.00 yen, having dived 0.4% on Friday to drift away from a five-week maximum of 107.49 yen demonstrated on Thursday.
On Friday, the US Labor Department reported that the number of non-farm jobs soared by 103,000 in March, as construction along with retail sectors lost jobs. It appeared to be the weakest growth since September 2017 and it followed a surge of 326,000 in February. In March, job surge turned to be below the average for the last 3 months showing 202,000. The unemployment rate for the sixth consecutive month accounted for 4.1%. Market experts predicted that the economy will add up to 193,000 jobs, and the unemployment rate will go down to 4%. As the labor market weakened, wage surge moderately speeded up. The average monthly wage increased by 0.3% having jumped 0.1% in February. This change pushed the annual leap in the average hourly income to 2.7% from 2.6% in February.
On Friday, China warned that it was ready to adequately respond to the ongoing tightening of new trade measures if America didn’t follow the threat of President Donald Trump to set fees for an extra $100 billion on Chinese imports.
Increasingly aggressive military declarations from Washington and Beijing sparked fears of a full-scale trade war that could damage global economic surge, although market participants hope that talks will lead to a much less destructive compromise.
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