The dollar rose ahead of the jobs data. Thursday’s ADP private payrolls and weekly jobless claims were better than expected and bond yields rose.
“With [U.S.] money markets currently pricing 16bps of easing in March this year, there is still clearly some room for a further back-up in short-term rates,” ING said.
This year’s trend of a rising DXY dollar index “has a little further to run,” it added.