The US dollar has fallen by disastrous Nonfarm Payrolls report

Weak statistics on employment for April (Nonfarm Payrolls) leads traders to postpone expectations of another Fed rate increase.

The Labor Department said that in May in the US non-farm sector, was created only 38 thousand. Jobs, much less than the expected 164 thousand. This is the worst value since September 2010.

In April, the number of employees increased by 123 thousand., The rate has been revised from 160 thousand.

Meanwhile, the US unemployment rate fell to 4.7% in May, while the experts expected a decline to 4.9%. In April and March, the value of the indicator was at 5.0%.

The report also showed that the average hourly wage increased by 0.2% in April, which coincided with forecast, after increasing by 0.4% in April (figure was revised to 0.3%).

the dollar fell sharply on the news. At time of writing the news, the euro / dollar traded at 1.1265 (+ 1.00%) compared with 1,158 at the time of the release of data.

"Of course, the Fed will not want to raise rates two weeks after this report, and the likelihood of increasing in July, now seems much less likely than 50:50," - says Adam Button, ForexLive editor.