The US dollar showed signs of a bullish reversal ahead of the nonfarm payrolls report, despite reduced expectations for Fed rate hikes in 2027. The Dollar Index held support at 101.232–101.285 as Treasury yields fell, while overnight implied volatility for USD/JPY reached 141 pips. Markets priced a 68.4% probability of a rate increase in December. The report was forecast to show 56K new jobs and 4.2% unemployment; the figures also list October payrolls at 165 versus an expected 65 and a previous reading of 60, with unemployment at 4.1% and participation at 61.9%.