Investors await US Nonfarm Payrolls report for July, expected to show 80K new jobs, influencing Fed policy expectations.
The Euro (EUR) slipped to 1.1545 against the US Dollar (USD) in early European trading on Friday, as the Greenback strengthened marginally. The US Dollar Index (DXY) rose to near 99.73, recovering slightly from a two-day low of 99.63.
Markets are focused on the US Nonfarm Payrolls (NFP) report, which is forecast to show 80K jobs added in July, up from 57K in June. The unemployment rate is expected to hold steady at 4.2%, while average hourly earnings are projected to grow 0.3% month-over-month and 3.5% year-over-year. Weaker-than-expected ADP private payrolls data, which showed 44K jobs added versus estimates of 70K, has tempered expectations.
The Euro remains subdued as traders await fresh signals on the European Central Bank’s monetary policy path. The NFP release will be closely watched for its potential impact on Federal Reserve rate cut expectations.