USD weakens as jobs revision shows -911K, largest downward adjustment ever

The US dollar has come under significant pressure following the Bureau of Labor Statistics' preliminary benchmark revision showing nonfarm payrolls will be reduced by 911,000 jobs (-0.6%) for March 2025, substantially worse than the consensus estimate of -682,000. This marks the largest downward revision on record, surpassing last year's -548,000 adjustment. The trade, transportation, and utilities sector bore the brunt of the downward revisions, with no sectors showing positive adjustments. This dramatic revision raises serious questions about the actual strength of the US labor market and could influence the Federal Reserve's monetary policy decisions. The weaker-than-expected employment picture suggests the Fed may need to maintain a more accommodative stance, potentially limiting dollar strength. Traders are now reassessing their USD positions ahead of upcoming inflation data, with immediate support for major USD pairs likely to be tested.