US Dollar Index stays below 104.00 and looks to snap a three-week winning streak.The US Dollar is having a hard time staying resilient against its rivals on the last trading day of the week. The US Dollar Index, which tracks the USD's valuation against a basket of six major currencies, stays in negative territory below 104.00 after having lost more than 0.5% on Thursday.
The US Bureau of Labor Statistics revised the change in Unit Labor Costs for the first quarter lower to 4.2% from 6.3% in the advanced estimate. Federal Reserve Governor Philip Jefferson said that pausing rate hikes at the next FOMC meeting would offer time to analyse more data before making a decision about the extent of additional tightening.
The US Bureau of Labor Statistics reported on Wednesday that the number of job openings on the last business day of April stood at 10.1 million, compared to 9.74 million in March. This reading came in higher than the market expectation of 9.37 million and provided a short-lasting boost to the USD. On the flip side, DXY could gather bullish momentum and rise toward 104.50 and 105.00 if it manages to rise above 104.00 and use that level as support.The US Federal Reserve has two mandates: maximum employment and price stability. The Fed uses interest rates as the primary tool to reach its goals but has to find the right balance. If the Fed is concerned about inflation, it tightens its policy by raising the interest rate to increase the cost of borrowing and encourage saving.