MUMBAI, May 6 Reuters The Indian rupee is likely to open largely unchanged on Monday, despite a drop in U.S. Treasury yields and the dollar after the monthly U.S. jobs report made it more likely that the Federal Reserve will cut interest rates later in the year.

Nondeliverable forwards indicate the rupee will open flat from 83.4150 in the previous session.

Asia has not done too much and anyway, you need a lot for the rupee to move, an fx trader at a bank said.

Maybe at least the constant buying pressure on USDINR over the last number of sessions will reduce and 83.5083.55 will go out of consideration, he said.

The 10year U.S. Treasury yield dropped to the lowest in three weeks on Friday after the world39;s largest economy added fewer jobs than expected. The unemployment rate ticked higher, while wages grew less than forecast.

Investors are now pricing in nearly two rate cuts by the Fed this year, reinforcing Fed Chair Jerome Powell39;s view that a rate hike was unlikely.

While one softer report doesn39;t make a trend, the data does validate the Fed39;s stated guidance that the current policy is restrictive, ANZ Bank said in a note.

The U.S. services sector unexpectedly contracted last month, a survey showed, providing more reason for investors to buy Treasuries and avoid the dollar.

The dollar index dropped to the lowest in just under a month on Friday. U.S. equities rallied. Despite this, Asia currencies were mostly lower to begin the week, with the Japanese…