The US dollar gained strength heavily after the jobs report, as the Nonfarm payrolls increased by 200,000 jobs, well above median estimates of 155,000 jobs, furthermore, unemployment rates plummeted cheerfully to 8.5 percent from 8.7 percent in December.
Moreover, the euro declined fuelled with concerns that the euro zone might not be able to find a comprehensive solution to the debt crisis, which will make it more difficult for European banks to raise capital, thereby might become more exposed.
In Europe stocks fell where the DAX lost 0.6% while CAC 40 fell 0.3%, as the rising worries over the euro zone’s crisis prompted investors to be more cautious, increasing demand on the safe haven USD which is trading as of this writing around the 81.19, adding to the downside pressures imposed on the euro which is trading around the 1.2725.
The pound was also dragged downwards trading around the 1.5418, while the AUD fell around 1.0237 as demand on the higher yielding assets dropped. However the yen managed to lose the early gains after the USD strengthened today, trading around the 77.04 level.
Commodities are mixed, as crude oil lost the early gains, now crude is trading around $101.35. Gold is weaker trading around the $1619.68 as the US dollar inclined today against major currencies.
Originally posted here
