• US private employers added an average of 35.75K jobs per week in late May.
• Job gains lose some momentum, receding from the previous week’s gain.

Private-sector hiring in the US has cooled in late May. The NER Pulse, which is the weekly companion to the ADP National Employment Report, shows that companies added an average of 29K jobs per week in the four weeks ending May 23.

That marks a slight downtick from the prior reading, showing a potential impasse in hiring.

What do the ADP figures mean for the US Dollar?

The Greenback extends Monday’s pessimism and drops to two-day lows. Indeed, when gauged by the US Dollar Index (DXY), the buck returns to the sub-100.00 region, revisiting 99.70 as investors continue to assess the latest data releases and events on the geopolitical front.

The weekly decline in the US Dollar (USD) exclusively follows some cooling of geopolitical tensions in the Middle East, as market participants remain hopeful of an eventual agreement between the US and Iran to end the conflict.

Technical Analysis

In the daily chart, Dollar Index Spot trades at 99.72. The near-term bias is constructive as price holds above the 55-day, 100-day and 200-day simple moving averages (SMAs) clustered just below 99.00, indicating a supported uptrend structure. The Relative Strength Index (RSI) at roughly 59 leans bullish without yet signaling overbought conditions, while the Average Directional Index (ADX) near 23 suggests a gradually strengthening but still moderate trend backdrop.

On the downside, initial support is seen at the recent horizontal pivot around 99.50, followed by the 55-day SMA near 98.99 and the 100-day and 200-day SMAs at 98.59–98.64, which together form a broader demand zone ahead of secondary support at 97.62. On the topside, immediate resistance appears at 100.39, ahead of a nearby cap at 100.64, with a break above these levels exposing the higher resistance band around 101.98.

(The technical analysis of this story was written with the help of an AI tool.)