The dollar DXY Index is rising, driven by US pay Estadão content

The index, which measures against a basket of strong currencies, rose on Friday after rising by the US May (employment data). The report strengthens the perspective of monetary tightening (Fed, US Federal Reserve) to raise 50 basis points over the next two meetings.

In New York, the dollar fell to 130.87 yen, the euro to 1.0723 and the pound to 1.2497. DXY was up 0.31% at 102,140 points.

The U.S. economy created 390,000 jobs in May, up from 328,000 expected. The unemployment rate remained stable at 3.6% and the average hourly wage rose to 0.3% or $ 0.10, $ 31.95 from April, slightly lower than the forecast of 0.4%.

According to the CIBC, although hiring is down slightly, it is “too hot” for the central bank’s convenience. Therefore, according to the Bank of Canada, recruitment is at a steady pace, “we are still clear on the path to a 50 basis point increase in the next two meetings.”

In response to the report, the dollar strengthened against rivals. “The dollar was roughly equivalent to today’s May employment report and before. A strong jobs report suggests that a strong jobs report may hesitate to ease aggressive interest rates in September, which is seen as favorable for the dollar,” Western Union analyzed.

In turn, Bank of Japan (BoJ) Governor Haruhiko Kuroda, after acknowledging the inflation risks in the country, extended the recent losses against the dollar, but stressed that the monetary policy of expansion will be maintained. It is important to create an economic environment where wages will rise further, ”he said.