Euro Rallies Against US Dollar Despite Positive ADP Jobs Report

The  euro today rallied slightly against the  US dollar recovering most of  its initial losses against the  greenback in  the  early to  mid-European sessions. The  EUR/USD currency pair rallied higher in  the  early American session despite the  release of  the  positive US ADP employment report.
The  EUR/USD currency pair rallied from a  low of  1.1671 in  the  late Asian session to  a  high of  1.1700 in  the  early American session.
The  release of  several PMI prints from across the  euro area by  IHS Markit seemed to  boost the  currency pair. The  release of  the  Markit France Manufacturing PMI, which came in  at  53.3 versus the  market expectation of  53.1 boosted the  single currency. The  Markit Eurozone Manufacturing PMI, which was recorded at  55.1 in  line with consensus estimates, also boosted the  currency pair. The  Markit Italy Manufacturing PMI, which came in  at  51.5 versus the  expected 53.0, had a  muted impact on  the  pair. The  Markit/BME Germany Manufacturing PMI also came in  at  56.9 missing expectations by  0.4 and  had a  negative impact on  the  currency pair.
The  currency pair rallied higher following the  release of  the  upbeat ADP employment report. The  ADP report indicated that the  American private sector added 219,000 new jobs as  opposed to  the  consensus estimate of  186,000 new jobs.
The  currency pair’s short-term performance is likely to  be affected by  the  release of  the  US ISM manufacturing and  employment reports as  well as  the  FOMC interest rate decision, both scheduled for  later today.
The  EUR/USD currency pair was trading at  1.1690 as  at  13:00 GMT having dropped from a  high of  1.1700 earlier today. The  EUR/JPY currency pair was trading at  130.84 having risen from a  low of  130.59.

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