The dollar looked to be finding its footing on Monday but that doesn’t mean the greenback is set for a significant rebound.
The DXY dollar index, which measures the currency against a basket of major peers, was up 0.2% at 97.37. Thursday’s stronger-than-expected June jobs report was a boon for the buck as it was seen as reducing the chances of a Federal Reserve interest-rate cut, helping the dollar steady after enduring its worst start to the year since 1973.
However, the chances of further gains look limited as the market remains wary of the effects of tariffs on U.S. growth and the impact of President Donald Trump’s tax-and-spending bill, which was signed into law Friday and will increase the national debt by almost $4 trillion over 10 years, according to the Committee for a Responsible Federal Budget.
