Forex
Home›Forex›Major Pairs›US Dollar slips below 100 as weak ADP offsets firm ser…
US Dollar slips below 100 as weak ADP offsets firm services data
The US Dollar Index fell to around 99.80 after ADP showed private payrolls rose only 44K in July, well below the 70K consensus.
The US Dollar Index, which tracks the dollar against a basket of major currencies, traded modestly lower near 99.80 on Wednesday, slipping about 0.15% as investors weighed a soft labor print against other parts of the US data set, according to FXStreet.
ADP Employment Change stood out as the clearest disappointment, with private payrolls expanding by 44K in July, less than half the 70K consensus and sharply below the 98K pace in June. The ADP result raises the stakes for Friday’s Nonfarm Payrolls report, with traders trying to determine whether the weakness reflects a broader cooling in hiring or the survey’s tendency to diverge from the official count.
The July ISM Services PMI offered a mixed counterbalance. The headline index came in at 54.1, below the 54.5 forecast but still above June’s 54, while the Employment Index fell to 47.4 from 51.2, slipping into contraction territory. New Orders rose to 57.2 from 55.1, and the ISM Services Prices Paid index increased to 70.3 from 67.7, suggesting services cost pressure continues to build even as labor momentum fades.
FXStreet noted the combination limited expectations for additional easing, helping explain why the dollar’s decline remained relatively shallow. It also pointed to technical weakness, with the US Dollar Index Spot around 99.71 on the 4-hour chart and below key moving averages, while the 20-period and 100-period SMAs act as resistance near 99.89 and 100.78, respectively.
Latest closeDollar index 99.88 ▼0.1%