The dollar index hovered around 99.5 on Wednesday, holding losses from the previous session as signs of labor market weakness bolstered expectations for a near-term Federal Reserve rate cut. ADP’s high-frequency data showed private employers cutting roughly 11,250 jobs per week in the four weeks to October 25, raising concerns about the labor market at a time the government shutdown delayed the official monthly jobs report. Markets now price in about a 68% chance of a 25 bps rate cut in December, up from roughly 62% a day earlier. Meanwhile, optimism grew that the record-long shutdown could end soon, with the Republican-controlled House of Representatives poised to approve a bill restoring funding to key departments and agencies. So far this week, the dollar has slipped against the euro, aussie, and kiwi, but gained against the sterling and yen.