Dollar stronger on new data
July 5, 2006
The US dollar strengthened on Wednesday after new figures were released, saying that 368,000 new jobs were created in June. It had been estimated that the month would see 155,000 new jobs created in the month. Analysts said that if the ADP National Employment Report numbers are accurate, the wage inflation that could result will likely spur the Federal Reserve to continue raising interest rates. In addition, a separate report showed that US factory orders were higher than had been anticipated. Some analysts warned, however, that the ADP report figures might not match Bureau of Labor Statistics numbers when they are announced on Friday.
The greenback added 0.4 percent to C$1.1123 in relation to the Canadian dollar, while it was up 0.5 percent versus both sterling and the euro, to $1.8345 and $1,272 respectively. The US currency gained 0.7 percent to ¥115.66 against the Japanese yen.