The dollar strengthened to a two-year high against the euro and rose versus most other major counterparts, as demand for safety increased after U.S. employers added fewer jobs in June than forecast. The yen gained versus the greenback as the last U.S. employment report before the Federal Reserve’s next meeting showed the jobless rate stayed unchanged at 8.2 percent. The euro fell as a slide in Spanish industrial production added to concern Europe’s debt crisis will worsen. The dollar appreciated 0.9 percent to $1.2280 per euro at 12:12 p.m. New York time, extending its weekly gain to 3.2 percent. It touched $1.2266, the strongest level since July 2010. The yen gained 0.4 percent to 79.63 per dollar and climbed 1.3 percent to 97.79 per euro. The Dollar Index, which Intercontinental Exchange Inc. uses to track the greenback against the six currencies, advanced as much as 0.7 percent to 83.396. It was the highest since June 1, exceeding the 82.950 it touched yesterday after European Central Bank President Mario Draghi said the euro bloc still faces risks after policy makers cut their benchmark interest rate to a record 0.75 percent. The index has rallied 2.1 percent this week, the most since November.
Source: Bloomberg
