Friday, November 7, 2008

Jobs Lost More than Expected, U.S. Dollar Falls

After the announcement the number of jobs lost in the U.S. economy for October were more than forecast, the U.S. dollar gave up much of its Thursday gains on Friday.

Jobs lost in October were about 240,000, a 30,000 increase from the projected 210,000by economists, according to the Labor Department.

Unemployment rates now stand at 6.5 percent, the highest in 14 years.

The euro ended the session at $1.2747, up from $1.2677, while the British pound gained from $1.5530 to $1.5666 against the dollar.

Speculation is if things continue downhill in the economy, it will end up with the Federal Reserve dropping rates to record levels below 1 percent, which could make investment in low-yielding dollar-based assets les desirable.

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