The greenback dollar remained stable in the European session, despite displaying a slight decline in the absence of new catalysts to stimulate more aggressive market movements.
Expectations for the Federal Reserve (Fed) to accelerate a reduction in bond purchases still support greenback trading despite mixed U.S. NFP jobs report readings.
Growth in the US job market was weaker than expected, while the unemployment rate contrasted with encouraging figures by falling to its lowest level since the pandemic began.
The Australian Central Bank (RBA) policy meeting is now the focus of investors to see the response from policymakers to the Federal Reserve (Fed) statement that it is starting to tighten its policy.
The Aussie dollar traded slightly higher at around 0.7030 against the US dollar, rising from last week’s lows of 0.69930.
The increase is also likely from the actions of the People’s Bank of China (PBOC) which has reduced its interest rates by 50 basis points to increase support to the economy.
Following the development of the European currency, the euro and the pound gained slightly following the depreciation of the US dollar. However, the movement of the two currencies is still limited due to the dovish stance of the central banks of England and Europe.
