German Bund Yields Hit Three-Week Low as Energy Prices Ease and ECB Outlook Softens 
Gold Price Hits Seven-Week High as Fed Rate Hike Bets Fade and Hormuz Deal Hopes Grow 
Gold Prices Surge 7% as Dollar Falls, Fed Rate Hike Bets Ease 
US Job Growth Seen Picking Up in July 
Brazil Cuts Selic Rate to 14% as Inflation Eases but Risks Persist 
US Stock Futures Rise as Markets Await July Payrolls Data 
Asian Currencies Steady as Markets Await U.S. Jobs Data 
Asian Stocks Slide as Semiconductor Selloff Weighs on South Korea and Japan 
China Trade Surplus Beats Forecasts in July as Exports Stay Strong 
Trump Unveils $3 Billion U.S. Critical Minerals Push 
Asian Stocks Slip as AI Rally Fades, Oil Holds Steady on Iran Peace Deal Hopes 
UK Services PMI Returns to Growth in July as New Orders and Confidence Rebound 
Asian Currencies Hold Steady as US Dollar Nears Seven-Week Low Ahead of Key Jobs Data 
US Stock Futures Hold Steady as Iran Hormuz Deal and Earnings Shape Market Sentiment 
Wall Street Ends Mixed as Dow Hits Record Despite Tech Weakness 
Asian Stocks Mixed as Chip Selloff Hits KOSPI, Nikkei Ahead of US Jobs Data 
Oil Prices Surge as Iran Hormuz Restrictions Renew Supply Fears 
The U.S. dollar weakened on Friday and headed toward its first two-week losing streak since late May after a disappointing July jobs report reduced expectations for another Federal Reserve interest rate hike.
The U.S. Dollar Index, which measures the greenback against six major currencies, fell 0.4% to 99.54 and was also down about 0.4% for the week. The euro gained 0.4% to $1.1568, while the British pound rose 0.3% to $1.3502. The Japanese yen strengthened as USD/JPY declined 0.6% to 157.48.
U.S. nonfarm payrolls unexpectedly fell by 23,000 in July, sharply missing forecasts for an 85,000 increase and marking the first monthly employment decline since February. May and June payroll figures were also revised down by a combined 103,000 jobs. However, the unemployment rate improved slightly to 4.1% from 4.2%.
Much of the headline payroll decline came from local government education, which shed nearly 50,000 jobs. Private payrolls still increased by around 30,000. Initial jobless claims also remained below 200,000 for a third consecutive week, suggesting the broader U.S. labor market has yet to experience severe stress.
The mixed employment picture complicates the Federal Reserve's interest rate outlook. Persistent inflation, partly fueled by volatile oil prices and Middle East tensions, continues to support arguments for tighter monetary policy. However, weaker job creation could encourage policymakers to delay additional rate hikes, particularly at the Fed's September meeting.
The Japanese yen, meanwhile, retained much of its strength following a landmark joint U.S.-Japan currency intervention. U.S. Treasury Secretary Scott Bessent confirmed Washington participated in yen purchases, marking the first coordinated U.S.-Japan intervention since 2011 and the first U.S. action specifically aimed at strengthening the yen since 1998. USD/JPY had previously reached around 164 before retreating toward the 157 level.
Elsewhere, the South Korean won recorded a sixth straight weekly decline, its longest losing streak since January 2023. The currency has faced pressure from a global technology sell-off, weakness in Samsung Electronics and SK Hynix shares, leveraged ETF unwinding, and continued foreign capital outflows.
