Euro falls, euro zone bond yields rise after U.S. jobs data meets forecasts
Reuters
Published Oct 07, 2022 08:49AM ET
LONDON (Reuters) - The euro fell against the dollar on Friday, while European stocks dropped and bond yields rose after data showed the U.S. economy created roughly as many jobs in September as expected, reinforcing expectations for more aggressive rate rises.
Data from the Labor Department showed 263,000 workers were added to non-farm payrolls in September, compared with expectations for a rise of 250,000 and a 315,000 increase in August.
The euro was last down 0.2% at $0.9776, having traded around $0.97965 prior to the data, while the pound was up 0.1% at $1.1173, compared with $1.12085 before the numbers.
Fed fund futures showed investors were betting on the Fed's key rate reaching as high as 4.625% by next March, compared with 4.615% at that same point earlier in the day.
The STOXX-600 index was flat on the day, having traded 0.15% higher before the figures. The banks sub-index, which is the most sensitive to changes in rate expectations, rose 0.3%, paring some of the day's gains.
In euro area government bond markets, Germany's 10-year government bond yield, the benchmark for the euro area, extended gains after the data. It was last up 10 basis points to 2.181%, its highest since Sept. 30.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.