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United States Dollar Index faces pressure as traders reconsider hawkish Fed bets

  • The US Dollar is slightly down to near 100.80 as traders have marginally trimmed hawkish Fed bets.
  • The US economy created 57K fresh jobs in June, missing estimates of 110K.
  • Investors shift focus to the US ISM Services PMI data, which will be released on Monday.

The US Dollar Index (DXY), which gauges the Greenback’s value against six major currencies, is marginally down to near 100.80 during the Asian trading session on Friday. The US Dollar has come under pressure as traders reconsider hawkish Federal Reserve (Fed) interest rate expectations, following the release of the United States (US) Nonfarm Payrolls (NFP) data for June on Thursday.

US Dollar Price Today

The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the weakest against the New Zealand Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD-0.06%-0.10%0.06%-0.07%-0.16%-0.21%-0.08%
EUR0.06%-0.04%0.11%-0.02%-0.15%-0.15%-0.02%
GBP0.10%0.04%0.13%0.00%-0.11%-0.09%0.02%
JPY-0.06%-0.11%-0.13%-0.11%-0.25%-0.28%-0.13%
CAD0.07%0.02%-0.00%0.11%-0.15%-0.15%-0.00%
AUD0.16%0.15%0.11%0.25%0.15%-0.00%0.13%
NZD0.21%0.15%0.09%0.28%0.15%0.00%0.13%
CHF0.08%0.02%-0.02%0.13%0.00%-0.13%-0.13%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).

According to the CME FedWatch tool, the odds of the Fed delivering at least one interest rate hike in the September policy meeting have diminished to 53.2% from almost 64% seen on Wednesday.

Traders have trimmed hawkish Fed bets as the US NFP data missed expectations by a wide margin. In June, the US economy created 57K fresh jobs, significantly lower than estimates of 110K. Also, the May data was revised lower to 129K from 172K. However, the Unemployment Rate dropped to 4.2% against the estimates and the previous reading of 4.3%.

Average Hourly Earnings, a key measure of wage growth, rose by 3.5% Year-on-Year (YoY), as expected, faster than the previous reading of 3.4%.

Going forward, the next major trigger for the US Dollar will be the US ISM Services Purchasing Managers’ Index (PMI) data for June, which will be released on Monday. Investors will pay close attention to the data, as the Service PMI, which reflects activities in the services sector, accounts for two-thirds of the economy.

Economic Indicator

Nonfarm Payrolls

The Nonfarm Payrolls release presents the number of new jobs created in the US during the previous month in all non-agricultural businesses; it is released by the US Bureau of Labor Statistics (BLS). The monthly changes in payrolls can be extremely volatile. The number is also subject to strong reviews, which can also trigger volatility in the Forex board. Generally speaking, a high reading is seen as bullish for the US Dollar (USD), while a low reading is seen as bearish, although previous months' reviews ​and the Unemployment Rate are as relevant as the headline figure. The market's reaction, therefore, depends on how the market assesses all the data contained in the BLS report as a whole.

Read more.

Last release: Thu Jul 02, 2026 12:30

Frequency: Monthly

Actual: 57K

Consensus: 110K

Previous: 172K

Source: US Bureau of Labor Statistics

America’s monthly jobs report is considered the most important economic indicator for forex traders. Released on the first Friday following the reported month, the change in the number of positions is closely correlated with the overall performance of the economy and is monitored by policymakers. Full employment is one of the Federal Reserve’s mandates and it considers developments in the labor market when setting its policies, thus impacting currencies. Despite several leading indicators shaping estimates, Nonfarm Payrolls tend to surprise markets and trigger substantial volatility. Actual figures beating the consensus tend to be USD bullish.

Author

Sagar Dua

Sagar Dua

FXStreet

Sagar Dua is associated with the financial markets from his college days. Along with pursuing post-graduation in Commerce in 2014, he started his markets training with chart analysis.

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