Dollar under pressure ahead of US jobs data

11:30 AM | 3 Apr, 2015
Dollar under pressure ahead of US jobs data
Share
TOKYO (APP) - The dollar eased against the yen in Asia on Friday as investors turn their attention to the release later in the day of a key US jobs report that could give an idea of the Federal Reserve's plans for raising interest rates.

The greenback edged down to 119.67 yen in Tokyo from 119.77 yen in New York late Thursday.

The euro slipped to $1.0866 and 130.08 yen from $1.0879 and 130.30 yen.

Traders were sitting tight before the Labor Department's non-farm payrolls data, after figures this week showed disappointing private-sector jobs creation in March and easing manufacturing activity.

The dollar, which has been rallying this year on speculation about the first rate hike since 2006, has lost some steam over the past few weeks as talk of an early summer move retreated.

Friday's report is expected to say the US economy added 245,000 non-farm jobs last month, down from February's extra 295,000, according to a Bloomberg survey.

"Investors are all the more cautious because up to now the recovery in the labour market has been going in a straight line," said Kazuo Shirai, a Los Angeles-based trader at MUFG Union Bank NA.

"If payrolls come out below 200,000, a June move by the Federal Reserve will become unlikely and a shift back to expectations for a September hike will push down the dollar," he told Bloomberg News.