A gauge of the dollar rose to its highest level in six months after traders reduced expectations of interest rate cuts from the Federal Reserve next month in the run-up to a key jobs report.
The Bloomberg Dollar Spot Index gained 0.1% Thursday to its highest intraday mark since May 19 after minutes of the Fed’s October meeting showed policymakers leaned against a rate cut in December. Swap traders are now pricing in just a 35% probability of the US central bank reducing rates next month, down from 43% at the end of last week.