Opened early Europe at $1.2380, EUR/USD closed in NY Thursday at $1.2393 after rate was pressed to extended lows of $1.23639 after the ECB cut rates by 25bps, the deposit rate cut to 0.0%, as well as ECB Draghi’s negative growth outlook. Rate squeezed lower into early Asia on reported CTA supply, posting a low at $1.2375 before settling around $1.2380 through the balance of another subdued session as attention turned toward today’s US employment report. Following the high ADP Thursday, along with better employment component in the non-manufacturing ISM employment component in mfg ISM) has seen some of upping of forecasts above earlier consensus 100k. Traders note demand into $1.2370 with interest. Rate came under fresh pressure into early Europe, extending lows to $1.2367 before demand emerged to cushion. Rate recovered, made a brief show above $1.2400 at $1.24015 before slowly sliding lower through the balance of the session, though so far holding off earlier lows. Between 90k-125k seen neutral on react for jobs outcome.
EasyForexNews Research Team