US Dollar Index Retreats After Weak June Jobs Data

The US Dollar Index (DXY) came under pressure on Thursday following the release of weaker-than-expected Nonfarm Payrolls data for June. The US economy added just 57,000 jobs last month, a sharp miss versus forecasts, which dampened expectations that the Federal Reserve would raise interest rates in the near term.

As a result, the greenback retreated across the board, with the DXY sliding from earlier highs. Traders are now reassessing the pace of monetary tightening, as the labor market shows signs of cooling.