FOREX-Dollar jumps as strong jobs number spurs hawkish Fed bets

BY Reuters | ECONOMIC | 12/02/22 08:57 AM EST

        *
      Graphic: World FX rates https://tmsnrt.rs/2RBWI5E



 (Recasts; changes byline; previous LONDON)
    By Karen Brettell
       NEW YORK, Dec 2 (Reuters) - The dollar jumped in line
with U.S. Treasury yields on Friday after data showed that U.S.
employers added more jobs than expected in November, potentially
giving the Federal Reserve more incentive to raise interest
rates.
    Employers added 263,000 jobs in November, well above
estimates of 200,000. Average hourly earnings jumped by 0.6% in
the month, above expectations for a 0.3% gain.
    The dollar index was last up 0.64% on the day against
a basket of currencies at 105.31, and the greenback jumped
0.24%against the Japanese yen to 135.64. The euro
 dropped 0.67% on the day to $1.0456.
    ========================================================
    Currency bid prices at 8:41AM (1341 GMT)
 Description      RIC         Last           U.S. Close  Pct Change     YTD Pct       High Bid    Low Bid
                                              Previous                   Change
                                              Session
 Dollar index                 105.3100       104.6600    +0.64%         10.084%       +105.5100   +104.3600
 Euro/Dollar                  $1.0456        $1.0526     -0.67%         -8.04%        +$1.0545    +$1.0438
 Dollar/Yen                   135.6350       135.3300    +0.24%         +17.84%       +135.9600   +133.6200
 Euro/Yen                     141.85         142.42      -0.40%         +8.85%        +142.4700   +140.7800
 Dollar/Swiss                 0.9416         0.9370      +0.52%         +3.26%        +0.9424     +0.9326
 Sterling/Dollar              $1.2168        $1.2264     -0.79%         -10.04%       +$1.2297    +$1.2146
 Dollar/Canadian              1.3490         1.3433      +0.44%         +6.71%        +1.3520     +1.3422
 Aussie/Dollar                $0.6756        $0.6812     -0.81%         -7.05%        +$0.6836    +$0.6743
 Euro/Swiss                   0.9844         0.9857      -0.13%         -5.06%        +0.9869     +0.9824
 Euro/Sterling                0.8593         0.8589      +0.05%         +2.30%        +0.8608     +0.8572
 NZ                           $0.6338        $0.6372     -0.53%         -7.40%        +$0.6412    +$0.6334
 Dollar/Dollar
 Dollar/Norway                9.8320         9.7265      +0.16%         +10.59%       +9.8490     +9.7420
 Euro/Norway                  10.2796        10.2368     +0.42%         +2.66%        +10.2948    +10.2293
 Dollar/Sweden                10.4312        10.2912     +0.66%         +15.67%       +10.4565    +10.2891
 Euro/Sweden                  10.9101        10.8390     +0.66%         +6.58%        +10.9202    +10.8382
 (Reporting by Karen Brettell; Editing by Susan Fenton)

In general the bond market is volatile, and fixed income securities carry interest rate risk. (As interest rates rise, bond prices usually fall, and vice versa. This effect is usually more pronounced for longer-term securities.) Fixed income securities also carry inflation risk and credit and default risks for both issuers and counterparties. Unlike individual bonds, most bond funds do not have a maturity date, so avoiding losses caused by price volatility by holding them until maturity is not possible.

Lower-quality debt securities generally offer higher yields, but also involve greater risk of default or price changes due to potential changes in the credit quality of the issuer. Any fixed income security sold or redeemed prior to maturity may be subject to loss.

Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.

fir_news_article