- US payrolls rise by 263,000 in September, slightly above the 250,000 market consensus.
- The dollar gains momentum after the NFPs, and reaches daily highs across the board.
- EUR/USD breaks out of multi-hour range to the downside, sideways for the week.
The EUR/USD fell to 0.9735 after the release of the official US employment report which showed figures slightly above expectations. The dollar strengthened after the figures.
Before the report, the pair was trading in a range between 0.9785 and 0.9815. It is moving away from the lows, returning to the range as the initial reaction of the dollar fades.
On a weekly basis, the EUR/USD is about to end the week hovering around the same level as it was a week ago, which is a bit of a downside considering it traded as low as 0.9999 a few days ago. The move from the lows reflects that the downward pressure still persists. On the positive side, it has been able to hold above 0.9660/70, relevant short-term support.
The calm ends with the NFP report
The official US employment report showed non-farm payrolls rose by 263,000 in September, above the 250,000 expected. The unemployment rate unexpectedly dropped from 3.7% to 36.5%.
The figures triggered volatility in financial markets, ending hours of limited price action. The dollar rose in line with US yields, which hit new all-time highs after the report. Stocks turned lower.
Technical levels
Source: Fx Street
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