Dollar strengthens against euro ahead of US unemployment data

The US dollar on March 4 morning strengthened against the euro ahead of data on the US labor market, Report informs referring to the auction data.

The euro exchange rate against the dollar is falling to $1.1038 per euro from the last closing level of $1.1064. The dollar against the yen falls to 115.44 yen per dollar from 115.46 yen. The dollar index (the exchange rate against a basket of currencies of six countries - the main trading partners of the US) increased by 0.13%, to 97.92 points.

Foreign currency investors on March 4 are waiting for statistics on the US labor market. Analysts believe that unemployment in the country in February fell to 3.9% from 4% in January, and the number of jobs in non-agricultural sectors of the country’s economy grew by 400,000 after an increase of 467,000.

Along with this, the US currency is supported by investors’ preferences in favor of safe-haven assets against the backdrop of the situation around Ukraine. In response to Russia’s recognition of the sovereignty of the LNR and DNR and the conduct of a military special operation to demilitarize Ukraine, a number of countries imposed sanctions against the Russian Federation.

Due to the Russian-Ukrainian conflict, investors are looking for safety in the dollar index, in the yen and the Swiss franc, while the euro suffers most from geographic proximity and the negative consequences of expanding sanctions in relation to Russia.