Euro Falls Against Dollar on Risk-Off Mood, Non-Farm Payrolls

The  euro today fell against the  dollar reversing all of  yesterday’s gains driven by  the  risk-off market sentiment after US President Donald Trump tested positive for  COVID-19. The  EUR/USD currency pair’s decline was further fueled by  the  weak inflation data from the  euro area, which could derail the  bloc’s economic recovery.
The  EUR/USD currency pair today fell from an  opening high of  1.1744 in  the  Australian market to  a  low of  1.1696 shortly after that before rallying higher and  then falling again.
The  currency pair’s performance today was influenced by  President Trump’s COVID-19 diagnosis, which shook investors dousing their risk appetite. The  markets’ reaction to  the  news indicates that most investors expected him to  win the  November 3 US Presidential Election. The  release of  the  preliminary eurozone consumer price index report for  September also did not help the  single currency. According to  Eurostat, the  eurozone’s inflation fell 0.3% in  September versus consensus estimates of  a  0.2% decline. News that the  European Commission President Ursula von der Leyen is set to  meet Boris Johnson tomorrow had a  minimal impact on  the  pair.
The  release of  the  disappointing US non-farm payrolls report for  September by  the  Bureau of  Labor Statistics drove the  pair lower, despite missing analysts’ expectations. The  upbeat University of  Michigan US consumer sentiment survey had a  muted impact on  the  pair.
The  currency pair’s performance over the  weekend is likely to  be affected by  US dollar dynamics and  tomorrow’s meeting.  
The EUR/USD currency pair was trading at 1.1709 as at 15:44 GMT having fallen from a high of 1.1744. The EUR/JPY currency pair was trading at 123.39, having dropped from a high of 123.99.
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