Treasury - Daily Forex for day 09.08.2004

...the non-farm payrolls for May and June by 61,000. The U.S. unemployment rate, however, dipped to 5.5% in July from June's 5.6%, but this report is usually considered less significant. The weaker-than-expected payrolls report made many anticipate a slower pace of further Fed's interest rate tightening. Despite this, the Fed is expected to hike rates to 1.50% from current 1.25% on Tuesday.

Surprisingly positive June foreign trade data underpinned the crown on Friday. The foreign trade report revealed a surplus of 0.9 billion crowns, beating the market forecast for a 3.3 billion crown deficit. This morning, the crown was unmoved after news that July CPI rose 0.4% m-o-m and 3.2% y-o-y, as expected.