Weaker-than-expected US nonfarm payrolls data spurs dollar selling, lifting the euro 0.16% to near 1.1455.
The euro rose 0.16% to 1.1455 against the US dollar in European trading Friday, extending gains after weaker US nonfarm payrolls data dented the dollar’s appeal. The move reflects growing expectations that the Federal Reserve may ease its hawkish stance amid signs of cooling labor market strength.
Earlier sessions saw the dollar under pressure as traders digested the latest jobs report, which fell short of consensus estimates. The shift in sentiment contrasts with recent Fed rhetoric, which had supported the dollar’s strength through higher-for-longer rate expectations.
Markets are now pricing in a potential shift in Fed policy, with the dollar index retreating against major peers. The euro’s advance marks its highest level in over a month.