Dlr vs majors.. Dlr fell vs yen, eur, chf n sterling after U.S. non-farm payrolls in July fell 131k, more than forecast of minus 65k. The drop in payrolls showed the rise in private-sector employment was not enough to make up for the govt. jobs lost, however, the unemployment stayed unchanged at 9.5%. U.S. 2-year Treasury note yield drops below 0.5% for the 1st time ever, suggesting market is getting more pessimistic on the U.S. economy. Yen gains sharply after the news n has penetrated Wed's 8-month low of 85.32 as active broad-based unwinding in yen carry trades esp vs aud/yen has pressured the dlr, Dow futures currently are down by 71 points. Market is speculating the Fed may consider taking steps (bond purchasing) to support the fragile economy at next Tuesday's FOMC meeting.
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