Treasury - Daily Forex for day 07.08.2006

The dollar tumbled to a two-month low of $1.2909 per euro on Friday after the closely-watched U.S. jobs report suggested that the Federal Reserve would not raise interest rates this Tuesday. The U.S. government reported the economy created lower-than-expected 113,000 non-farm jobs in July, while the unemployment rate surprisingly rose to 4.8%, a six month high. Economists had forecast non-farm paryrolls to rise 142,000 and the jobless rate to hold flat at 4.6%.

The crown continued to rise to near 2-week highs against the euro on Friday, as global investors kept shifting their money from the dollar to central European currencies.