Dollar falls after private report shows July jobs growth slows

NEW YORK – The dollar fell from a four-month high after a private report showed July jobs growth was lower than forecast.

The greenback weakened as companies in the U.S. added 185,000 workers to payrolls in July, compared with the median forecast of 215,000, figures from the ADP Research Institute showed Wednesday. The dollar rose Tuesday after Federal Reserve Bank of Atlanta President Dennis Lockhart told the Wall Street Journal the central bank was close to raising rates next month.

“This move is unwinding by nervous nellies who got long U.S. dollar yesterday,” John Hardy, head of foreign-exchange strategy at Saxo Bank A/S in Hellerup, Denmark, said by e-mail, referring to bets the currency will rise. “Conviction on Fed hawkishness is a bit low.”

The Bloomberg Dollar Spot Index, which tracks the U.S. currency against 10 major peers, fell 0.2 percent to 1,212.99 as of 8:31 a.m. New York time, after touching 1,218.28, the highest level since March 16. The U.S. currency lost 0.3 percent to $1.0916 per euro and weakened 0.3 percent to 124.05 yen.

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A Labor Department report on Aug. 7 is projected to show employers, including government agencies, took on 225,000 workers last month, while the jobless rate held at a seven-year low of 5.3 percent.

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