Forex - EUR/USD dips as U.S. jobs report beats expectations
Published Jun 07, 2013 11:32AM ET
In U.S. trading on Friday, EUR/USD was down 0.16% at 1.3223, up from a session low of 1.3193 and off from a high of 1.3285.
The pair was likely to find support at 1.3054, Thursday's low, and resistance at 1.3306, Thursday's high.
The Bureau of Labor Statistics said the U.S. economy added 175,000 jobs in May, beating expectations for an increase of 170,000, after 149,000 jobs were created the previous month.
The headline U.S. unemployment rate ticked up to 7.6% last month, from 7.5% in April, and even though analysts were expecting the unemployment rate to remain unchanged, markets applauded the data and took up dollar positions.
Lackluster or disappointing data in the U.S. often bruise the dollar by stoking expectations that the Federal Reserve will keep monetary stimulus programs in place, including its USD85 billion bond-buying program, which weakens the greenback to spur recovery.
The euro saw some support after official data revealed that German industrial production rose 1.8% in April, beating expectations for a 0.2% decline and after a 1.2% increase the previous month.
Elsewhere, Germany's trade surplus expanded unexpectedly in April, widening to EUR17.7 billion from a EUR17.6 billion surplus the previous month.
Analysts were expecting the trade surplus to narrow to EUR17.2 billion in April.
The euro, meanwhile, was up against the pound and up against the yen, with EUR/GBP trading up 0.17% at 0.8504, and EUR/JPY trading up 0.44% at 129.04.
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Written By: Investing.com
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