According to Odaily, the US dollar experienced a slight decline as investors anticipate further interest rate cuts by the Federal Reserve this month. This sentiment follows the release of non-farm payroll data last Friday, which showed improved job growth and rising wages in November, although the unemployment rate unexpectedly increased.
Analyst Ipek Ozkardeskaya from Swissquote Bank highlighted that these figures have bolstered market expectations for a 25 basis point rate cut at the Federal Reserve's December meeting. Despite the ongoing global political turmoil prompting investors to seek safe-haven assets, these expectations have contributed to the weakening of the dollar.
Data from LSEG indicates that the market currently estimates an 85% probability of a 25 basis point rate cut in December. This outlook reflects the broader market sentiment and the potential impact of the Federal Reserve's monetary policy decisions on the currency's performance.
