US Dollar Surges Ahead of Nonfarm Payrolls as Oil Prices Soar
The US Dollar (USD) strengthened against most major currencies on Thursday, August 6, ahead of the highly anticipated Nonfarm Payrolls report. The US Dollar Index (DXY) rose 0.26% to near the 100.00 level as Oil prices surged 3% following reports that vessels linked to the United States, Israel, and other countries considered hostile by Tehran would be barred from the Strait of Hormuz.
The Greenback's gains were also supported by positive labor market data, with Initial Jobless Claims missing forecasts at 199K and Challenger Job Cuts at 33.429K in July, its lowest print in two years. As a result, investors trimmed risk, leading to increased demand for the US Dollar.
The commodity picture reflected this shift, with West Texas Intermediate (WTI) Oil prices up 3% at $77 per barrel. Meanwhile, Gold and Silver declined by 0.09% and 0.84%, respectively. The EUR/USD pair fell around 0.27% to trade near the 1.1500 landmark, while GBP/USD eased around 0.11% to near 1.3450.