US dollar mixed amid rate hike uncertainty

New York, Sep 5 (IANS) The US dollar traded mixed against other major currencies as a key jobs report failed to give clear signals about whether the Federal Reserve will raise interest rates later this month.

US non-farm payrolls data came out mixed on Friday which missed on the headline number but beat estimates on the unemployment rate and wage indicators, reported Xinhua news agency.

The Labour Department reported that total nonfarm payroll employment increased by 173,000 in August, well below market consensus of 223,000.

The unemployment rate, however, edged down to 5.1 percent, beating market estimates of 5.2 percent and logging the lowest level in seven years.

Meanwhile, average hourly earnings for all employees on private nonfarm payrolls rose by 8 cents to $25.09 in August, also higher than market expectations.

The jobs report is the final read on monthly labour conditions before the Federal Reserve makes a decision on interest rates at its next policy meeting in about two weeks.

“We think the FOMC will elect to raise rates, but they can still talk themselves out of it if they try,” chief economist at FTN Financial, Chris Low, said in a note.

The dollar index, which measures the greenback against six major peers, edged down 0.16 percent at 96.253 in late trading.

In late New York trading, the euro rose to $1.1148 from $1.1121 in the previous session.

The British pound dropped to $1.5183 from $1.5259 in the previous session. The Australian dollar moved down to $0.6924 from $0.7017.

The US dollar bought 118.93 Japanese yen, lower than 120.00 yen of the previous session.

The US dollar fell to 0.9730 Swiss franc from 0.9736 Swiss franc, and it gained to 1.3253 Canadian dollars from 1.3198 Canadian dollars.

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