Euro Rallies Against US Dollar on Weak ADP Jobs Data, Later Declines

The  euro today rallied higher against the  US dollar following the  release of  the  latest US employment change data in  the  early American session. The  euro was also bid higher by  the  sell-off in  global equity markets due to  fears relating to  the  US-China trade truce and  the  recent arrest of  the  Huawei CEO in  Canada.
The  EUR/USD currency pair today rallied from a  low of  1.1321 in  the  early European session to  a  high of  1.1413 after the  US monthly jobs data.
The  currency pair opened today’s session in  a  consolidative phase before heading lower in  the  late Asian session. The  pair rallied higher in  the  early European session following the  release of  the  Markit Germany construction PMI for  November, which came in  at  51.3 versus the  previous figure of  49.8. The  pair had a  muted reaction to  the  release of  the  German factory orders for  October by  the  Federal Statistical Office despite the  print declining by  a  smaller margin than expected.
The  release of  the  US ADP employment change data in  the  early American session, which came in  at  179,000 jobs versus the  expected 195,000 jobs triggered a  parabolic rally by  the  pair. The  rally was further boosted by  the  disappointing initial jobless claims data and  the  October trade balance data, both of  which missed expectations.
The  currency pair’s future performance is likely to  be influenced by  tomorrow’s eurozone GDP data and  US non-farm payrolls report.
The  EUR/USD currency pair was trading at  1.1369 as  at  16:49 GMT having dropped from a  high of  1.1413. The  EUR/JPY currency pair was trading at  127.85 having declined from a  high of  128.37.

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