Dollar declines after Democrats take US Congress in midterm elections
SPY•SPY•SPY•SPY•The dollar index fell 0.25% to 101.60 after Democrats won control of both chambers of Congress, while the euro rose 0.21% to $1.1217. US private payrolls increased by 86,000 in October, above economists’ 69,000 estimate.
The dollar fell on Wednesday after Democrats won control of both the Senate and House in the US midterm elections, easing concerns about contested results. The dollar index dropped as much as 0.38% to 101.21, its lowest level since September 30, before recovering to 101.60, down 0.25%.
The euro rose 0.21% to $1.1217 after reaching $1.1272, its highest level since October 6. Markets were pricing in an 81.2% chance of a Federal Reserve rate increase of at least 25 basis points in December, up from 77.4% in the prior session.
US private payrolls increased by 86,000 in October, above economists’ 69,000 estimate. The Institute for Supply Management’s non-manufacturing PMI eased to 54.5 from 54.9 in September, slightly below the 54.8 estimate but above the 50 level that indicates expansion.
