The US dollar continued to decline in European trading yesterday, but was seen to show a recovery in the New York session.
The strengthening of the US dollar was supported by the release of US economic data which became a new assessment for the central bank.
One of the components of the labor sector that is in focus, the JOLTS data which calculates the number of jobs offered in May increased to 7.77 million, exceeding the forecast figure of 7.32 million.
The increase in the number of job offers gives a positive sign for the labor sector and will influence the Federal Reserve (Fed) decision in setting interest rates.
Also published yesterday, the US manufacturing PMI data from the ISM survey showed an increase to 49.0 points although it has not yet passed the 50 level which signals expansion in the sector.
Several additional indicators on the US employment component will be watched heading into the end of the week.
This includes ADP data released in the New York session tonight (Wednesday) which showed an increase in private employment before the main focus is on the NFP jobs report on Thursday.
Fed Chairman Jerome Powell in his speech at a conference in Portugal, he reiterated that the central bank still needs to wait for the latest data before being confident of starting further policy easing.
In other developments, President Donald Trump's spending and tax cut bill has been passed by the US Senate which is expected to add $3.3 trillion to the national debt.
The bill will then await final approval in the US House of Representatives.
