Dollar extends gains ahead of jobs report

The dollar index strengthened above 100 on Thursday, hitting a six-month high as investors assessed the Federal Reserve monetary policy outlook ahead of a key jobs report.

The delayed September nonfarm payrolls report will be released later today and is expected to show job gains while still signaling a soft labor market.

The BLS said it will not publish the regular October employment report because household survey data cannot be collected retroactively, adding that the missing figures will instead be incorporated into the delayed November release.

The latest FOMC minutes showed policymakers were divided on the need for additional rate cuts, prompting traders to trim expectations for a December move.

Markets now price about a 33% chance of a 25 bps cut next month, down from 50% the day before.

The dollar held gains against most major currencies, with the strongest advances seen versus the yen, kiwi and sterling.