Fundamental Comment

Dollar strengthens after robust US jobs report

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The U.S. dollar strengthened against major currencies on Friday after a strong jobs report that enhanced expectations the Fed would hike interest rates next month.

The non-farm figures signaled a more than forecast job creation pace in January, rise in wage growth and stabilization in unemployment rate. 

Analysts predicted a job creation of 181,000 jobs, but the reading showed 200,000 jobs lost, from an upwardly revised of 160,000 job-gain in December, which was 148,000 before revision.

Unemployment rate stood at 4.1 percent, moving in line with forecasts.

The average hourly earnings gained 0.3 percent last month, compared to both revised and predicted readings of 0.4 percent and 0.2 percent respectively.

Annual average hourly earnings soared 2.9 percent, above both prior and expected readings of 2.5 percent.

The dollar strengthened to 88.97 against a basket of major currencies, doing serious attempt to avert another weekly loss, according to the dollar index, as of 13:42 GMT.

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