NEW YORK, Sept 8: The dollar slumped against other world currencies on Friday after a government report revealed surprise job losses last month, suggesting a growth slowdown

in the world’s largest economy.

The euro and other currencies spiked higher against the dollar after the United States Labour Department released a monthly report showing United States employers unexpectedly shed 4,000 jobs in August, marking the first drop in payrolls since August of 2003.

Economists warned the job losses could worsen as banks and mortgage firms slash positions to fend off a broad credit crunch. Late Friday US mortgage giant Countrywide Financial said it was planning to lay off up to 12,000 employees.—AFP