U.S. job growth accelerated in August, with wages posting the biggest annual increase in more than nine years and unemployment hitting its lowest level since 2001 at 3.9 percent, boosting the Fed's expected rate hike at this month's meeting.
The U.S. economy added 201K jobs last month better than the expectations of 191K jobs, while the revision of the reading of July decreased to 147K jobs, and the economy needs to add 120K jobs per month to keep pace with population growth. Wages rose by 0.4% on monthly basis and by 2.9% on yearly basis.
Following the data, the US dollar rose against a basket of currencies, with the dollar index reaching its daily high of 95.35.
The Canadian dollar fell sharply after the Canadian economy lost 51.6K jobs in August, unemployment rose to 6%, the Canadian dollar recorded daily lows against the US dollar after the data and the USDCAD stabilizes at levels of 1.3144 at the moment.
The Australian dollar hit its lowest levels in more than two and a half years at 0.7215 levels, as concern over the US-China trade conflict escalated, and investors heading to safe haven currencies such as the yen and the franc rose.
