Friday, 5 Nov 2010

Dollar Surges after Better than Expected Non-Farm Data

The dollar surged versus the EUR, advancing from near a 9 month low, after the release of better than expected employment data. October nonfarm U.S. payrolls rose by a greater-than-expected 151,000 as private-sector employers added 159,000 jobs, the Labor Department said Friday.

The dollar advanced to $1.4030 per from $1.4207 yesterday. It touched $1.4282 yesterday, the weakest level since Jan. 20. The greenback gained to 81.33 yen, from 80.75 yen yesterday. The euro declined to 114.14 yen, from 114.71.

Crude oil surged to its highest level in two years after the release of the employment data. Oil for December delivery gained 36 cents, or 0.4 percent, to settle at $86.85 a barrel on the New York Mercantile Exchange, the highest closing price since Oct. 8, 2008; spot oil is currently trading at $87.05 a barrel.