Dollar Gains Amid Economic Uncertainties and Upcoming Election

The U.S. dollar strengthened against the euro and other major currencies due to Friday's economic reports showing a significant slowdown in job growth caused by hurricanes and industrial strikes. This comes as attention turns towards the upcoming U.S. presidential election and Federal Reserve interest rate decisions.

On Friday, the dollar appreciated in value against the euro and other key currencies as traders processed data indicating a considerable deceleration in U.S. job growth for October. The slowdown was attributed to the impact of hurricanes and significant industrial strikes, as reported by the Bureau of Labor Statistics.

The unemployment rate in the U.S. remained steady at 4.1%, suggesting that the labor market continues to be robust despite adverse circumstances. Meanwhile, the dollar index noted an uptick of 0.36%, reinforcing confidence in the currency's strength amid global economic uncertainties.

Market analysts are now focusing on the approaching U.S. presidential election and the Federal Reserve's anticipated interest rate decision. Opinion polls reveal a closely contested race. The recent jobs data has led to a higher likelihood of a 25-basis-point cut in interest rates, with futures markets pricing in a 99% chance of this outcome.

(With inputs from agencies.)