Geopolitical risks in the Strait of Hormuz lift the euro despite April’s US payrolls beating forecasts of 62K with 115K jobs added.
EUR/USD climbed 0.44% to 1.1775 as escalating tensions in the Strait of Hormuz outweighed a robust US jobs report. The pair gained despite solid economic data that typically supports the dollar.
April’s Nonfarm Payrolls added 115K jobs, surpassing the 62K estimate, while March’s figure was revised down to 178K. Unemployment held at 4.3%, below the Fed’s 4.5% projection, and wage growth rose 3.6%, slightly under forecasts.
Market focus shifted to geopolitical risks after US-Iran exchanges in the Strait of Hormuz. Consumer sentiment also hit a record low, further pressuring the dollar despite strong labor data.