Dollar rises after US unemployment rate falls

AP News
Posted: Dec 02, 2011 3:54 PM
Dollar rises after US unemployment rate falls

The dollar rose against the euro Friday after the U.S. government reported a sharp drop in the unemployment rate last month.

The Labor Department said that the unemployment rate fell to 8.6 percent in November, the lowest since March 2009. Analysts had expected the rate to stay at 9 percent.

In November, the country added 120,000 jobs, a sign that the economy is slowly recovering. The government also said that job growth was higher in September and October than first estimated.

The euro fell to $1.3406 in late trading Friday from $1.3460 late Thursday.

Traders are turning their attention next week's meeting of European leaders. The hope is that they produce some kind of plan to stem the region's debt crisis. European finance ministers met this week but delayed any decisions until next week.

The dollar was higher against most other currencies. The British pound fell to $1.5598 from $1.5689. The dollar rose to 78.03 Japanese yen from 77.76, to 0.9208 Swiss franc from 0.9164 and to 1.0178 Canadian dollar from 1.0150 Canadian dollar.