The Rupee opened weaker as the U.S. dollar held broadly steady in early Asian trade on Friday and was poised for its steepest weekly gain ?in more than a year as the escalating conflict in the Middle East drove demand for safe-haven assets. The euro and yen remained on the ?back foot as the crisis drove oil prices ever higher, spurring inflation risks in economies dependent on energy imports and upending expectations for policy by the Federal Reserve and other central banks. The dollar index , which measures the greenback against ?a basket of currencies, was trading a touch lower by 0.06% at 99.00, still on course for a 1.4% gain this week that would be the most since ?November 2024. The euro was little changed at $1.1612, while the yen tacked on 0.06% to 157.5 per dollar. Sterling was almost steady, up just 0.04% at $1.3361. The war escalated on Thursday, with U.S. and Israeli jets hitting areas across Iran and Gulf cities coming under renewed bombardment. In a phone interview with Reuters, Trump said Mojtaba Khamenei, a son of the late supreme leader who ?has been considered a favorite to succeed his father, was an unlikely choice. The greenback was one of a handful of winners in a volatile few sessions that ?have dragged stocks, bonds and, at times, even safe-haven precious metals lower. The market is now focused ?on Friday's employment report. ?Nonfarm payrolls likely increased by 59,000 jobs last month after accelerating by 130,000 in January, a Reuters survey of economists predicted. The unemployment rate is expected to have held steady at 4.3%.The Canadian dollar weakened against its ?U.S. counterpart on Thursday as fading optimism the Middle East conflict would soon end revitalized demand for safe haven currencies, such as the greenback. The loonie was trading 0.4% lower at 1.3690 per ?U.S. dollar, or 73.05 U.S. cents, after moving in a range of ?1.3616 to 1.3716. Higher oil prices have ?raised ?concerns of fresh inflation pressures that could reduce prospects of Federal Reserve interest rate cuts. The price of oil climbed 8.2% to $80.80 a barrel as the war disrupted supplies and shipping, driving some major producers in the Middle East to reduce output.......
More