Dollar drops further post weak payrolls; Fed to cut next month?

Dollar drops further post weak payrolls; Fed to cut next month?

Source: EODHD - https://www.investing.com/news/forex-news/dollar-drops-further-post-weak-payrolls-fed-to-cut-next-month-4167164
Published: Aug 04, 2025 4:21 AM

Investing.com - The U.S. dollar continued to retreat Monday, adding to Friday’s losses after the dismal jobs report raised expectations of early interest Federal Reserve rate cuts. At 04:20 ET (08:20 GMT), the Dollar Index, which tracks the greenback against a basket of six other currencies, slipped 0.2% to 98.722, after sliding more than 1% on Friday. Dollar slumps after weak payrolls; Fed to cut? Data released on Friday showed that U.S. nonfarm payrolls rose by just 73,000 in July, well below forecasts, and this was accompanied by sharp downward revisions to May and June figures. The unemployment rate also ticked up to 4.2%, reinforcing fears of a slowing U.S. labor market, prompting trade...

Market context: This update is relevant to AUD traders, with AUDUSD as the primary instrument to monitor for follow-through, trend continuation, or headline volatility.