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GBP/USD turns negative on the day near 1.3820 after upbeat US jobs report

  • GBP/USD is posting modest daily losses on Friday.
  • US Dollar Index holds above 93.00 after strong NFP data.
  • 10-year US Treasury bond yield rebound following Thursday's drop.

The GBP/USD pair came under modest bearish pressure in the second half of the day and dropped to a session low of 1.3814. As of writing, the pair was down 0.08% on the day at 1.3820.

DXY looks to end the week above 93.00

The US Bureau of Labor Statistics reported on Friday that Nonfarm Payrolls in March surged by 916,000. This reading beat the market expectation of 647,000 by a wide margin and followed February's print of 468,000 (revised from 379,000). Further details of the publication showed that the Unemployment Rate declined to 6% as anticipated. On a negative note, the Average Hourly Earnings dropped to 4.2% on a yearly basis from 5.2%.

With the initial reaction, the 10-year US Treasury bond yield erased a portion of Thursday's heavy losses and turned positive on the day above 1.1720%. Consequently, the USD started to outperform its rivals and the US Dollar Index (DXY) climbed above 93.00.

In the remainder of the day, the trading action is expected to remain subdued as US stocks markets will be remain closed due to the Easter holiday.

Technical levels to watch for

 

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