Dollar Gains Momentum Amid Surging U.S. Job Growth

The U.S. dollar gained strength against key currencies, including the yen, euro, and Swiss franc, after a U.S. Labor Department report revealed that job creation outpaced analyst forecasts. The strong employment numbers suggest that the Federal Reserve might need more time before deciding on cutting interest rates.

With the dollar appreciating by 0.70% against the yen and 0.40% against the Swiss franc, it is set for consecutive sessions of gains. Meanwhile, the euro weakened by 0.26%. Economist Axel Merk indicated the robust labor market supports Jerome Powell's stance for the Fed to maintain current rates.

Accompanying the dollar's rise was an uptick in U.S. Treasury yields, impacting stock indexes upward. Additionally, the U.S. House progressed on President Trump's tax-cut legislation and trade restrictions with China appeared to ease, further bolstering the dollar's position.

(With inputs from agencies.)