US Dollar sits at 2-1/2 week tops, around 94.00 handle ahead of NFP
• USD supported by the passage of a short-term funding bill to avert a government shutdown.
• Fed rate hike expectations/surging US bond yields providing an additional boost.
• Traders look forward to the keenly watched NFP report for fresh impetus.
The greenback prolonged its bullish momentum, helping the key US Dollar Index to reclaim the 94.00 handle and rise to fresh 2-1/2 week tops.
Against the backdrop of optimism over a major US tax reform plan, the US Congress on Thursday passed legislation to temporarily fund the government through December 22 and provided an additional boost to the already stronger USD.
Wednesday's ADP report on the US private sector employment reinforced prospects for an eventual Fed rate hike action next week and the same is evident from a follow-through uptick in the US Treasury bond yields, which remained supportive of the strong bid tone surrounding the buck.
Investors now look forward to one of the keenly watched US economic indicators, monthly jobs report, popularly known as NFP, for fresh directional impetus ahead of next week's FOMC meeting.