Dollar Holds Steady as Fed Outlook Mulled

2026-09-07 01:48 By Jam Kaimo Samonte 1 min. read

The dollar index held around 99 on Monday after rebounding slightly in the previous session, supported by stronger-than-expected US jobs data that reinforced expectations of a Federal Reserve interest rate hike in September.

Data released Friday showed US nonfarm payrolls rose by 162,000 in August, following a revised increase of 23,000 in July and comfortably exceeding forecasts for a gain of 56,000.

Meanwhile, the unemployment rate remained unchanged at 4.1%, while annual wage growth slowed to 3.1%, though the moderation was less pronounced than markets had expected.

Investors raised the probability of a September Fed rate hike to around 60%, from roughly 50% before the jobs report.

Attention now turns to US inflation figures due this week for further clues on the central bank’s policy path.

The dollar also benefited from safe-haven demand as the US and Iran exchanged strikes on vessels over the weekend, sending oil prices higher.



News Stream
Dollar Holds Steady as Fed Outlook Mulled
The dollar index held around 99 on Monday after rebounding slightly in the previous session, supported by stronger-than-expected US jobs data that reinforced expectations of a Federal Reserve interest rate hike in September. Data released Friday showed US nonfarm payrolls rose by 162,000 in August, following a revised increase of 23,000 in July and comfortably exceeding forecasts for a gain of 56,000. Meanwhile, the unemployment rate remained unchanged at 4.1%, while annual wage growth slowed to 3.1%, though the moderation was less pronounced than markets had expected. Investors raised the probability of a September Fed rate hike to around 60%, from roughly 50% before the jobs report. Attention now turns to US inflation figures due this week for further clues on the central bank’s policy path. The dollar also benefited from safe-haven demand as the US and Iran exchanged strikes on vessels over the weekend, sending oil prices higher.
2026-09-07
Dollar Rebounds as US Jobs Growth Beats Expectations
The dollar index rose to 99.3 on Friday, rebounding from a two-week low after stronger-than-expected US employment data bolstered expectations for tighter monetary policy. US nonfarm payrolls increased by 162,000 in August, following an upwardly revised gain of 23,000 in July and well above market expectations for a 56,000 increase. Meanwhile, the unemployment rate held steady at 4.1%, while annual wage growth eased to 3.1%, although the decline was smaller than markets had anticipated. Money markets are now pricing in a near 60% probability of a rate hike in September, according to the CME FedWatch Tool.
2026-09-04
Dollar Weakens on Waller Remarks
The dollar index held around 99 on Friday after sliding sharply in the previous session, as traders scaled back expectations for a Federal Reserve rate hike this month following dovish comments from a central bank official. Fed Governor Christopher Waller said he would support keeping rates unchanged if price pressures continue to ease, adding that his next policy decision will depend heavily on August inflation data due next week. Traders now see roughly a 50% probability of a September rate hike, down from about 63% a day earlier. Investors are also awaiting Friday’s August jobs report for further clues on the Fed’s policy outlook. The dollar also faced pressure from the surging yen as traders watched for signs of intervention while assessing the prospects for more aggressive policy tightening by the Bank of Japan this year. For the week, the dollar index is on track to decline about 0.7%.
2026-09-04