The dollar traded at almost a four-month high as demand slowed with traders reluctant to buy the currency before the Aug. 7 employment report.

The greenback fluctuated as July jobs data may help guide Federal Reserve policy makers as they determine whether the economy is expanding fast enough to merit the first interest-rate increase in almost a decade. Fed Bank of Atlanta President Dennis Lockhart said in an interview with the Wall Street Journal that the central bank is close to a September rate increase.

The Bloomberg Dollar Spot Index was little changed at 1,212.48 at 1:48 p.m. in New York, after closing Monday at the strongest level since March 17. The greenback added 0.2 percent to $1.0925 per euro and 0.1 percent to 124.16 yen.

The dollar dropped as much as 2 percent against its Australian counterpart as that nation’s central bank held interest rates unchanged and omitted any reference to further currency declines being necessary.

Source: Bloomberg