Euro Recovers as US NFP Report Misses by a Wide Margin

The euro today rallied from its daily lows after the release of the disappointing US non-farm payrolls report in the early American session. The EUR/USD currency pair had been under intense selling pressure following the release of weak German industrial production data earlier today.
The EUR/USD currency pair today fell to a low of 1.1020 in the mid-European session before rallying to a high of 1.1054 after the NFP report and was near these highs at the time of writing.
The currency pair rallied to an intra-day high earlier today driven by the weak greenback as tracked by the US Dollar Index. The greenback’s weakness was driven by Tuesday’s weak US ISM manufacturing PMI, which contracted significantly. The pair peaked shortly after the release of the weak German industrial production data for July by the Federal Statistical Office. Germany’s industrial production contracted by 0.6% versus the expected 0.3% expansion. The pair kept falling despite the release of the in-line eurozone GDP Q2 data by Eurostat where the quarterly print met expectations set at 0.2% and the annualized figure beat expectations by coming in at 1.2% versus the expected 1.1% print.
The fiber rallied to new daily highs following the release of the US non-farm payrolls report by the Bureau of Labor Statistics. The NFP print came in at 130,000 new jobs versus the expected 158,000 new jobs, which was shocking as the ADP employment change report beat expectations yesterday.
The currency pair’s short-term performance is likely to be affected by Jerome Powell‘s speech scheduled for 16:30 GMT.
The EUR/USD currency pair was trading at 1.1046 as at 13:32 GMT having risen from a low of 1.1020. The EUR/JPY currency pair was trading at 117.92 having fallen from a high of 118.26.

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