Forex Breaking News – US Dollar plummets after weak employment data

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The US Dollar tumbled against most majors after the release of the ADP jobs report.

ADP Non-Farm Employment data gave a worse than expected reading indicating a smaller increase in job creation from April to May of only 38,000 jobs created. Economists had forecast a change of employment to 175,000 jobs . The prior figure was revised down to 179,000 from a preciously recorded increase of 177,000 jobs from March to April.

The jobs report was compiled by Automatic Data Processing Inc on a monthly basis. It is a private jobs report and precedes the government employment data by 2 days but has proven to be a reliable source of employment data.

The data indicated a deceleration in employment which suggests a slowdown in the U.S economy’s growth rate. The disappointing news that was released at 12:15GMT caused the US Dollar to plunge against most counterparts.

The Swiss Franc hit a record high against the US Dollar. USDCHF fell from 0.8452 to 0.8427.

EURUSD surged 26 pips from 1.4405 to 1.4431 within 5 minutes.

GBPUSD jumped 1.6427 to 1.6440.

USDJPY plunged from 81.25 down to 80.80.