Nonfarm payrolls showed robust employment growth but other parts of the report were disappointing. EUR/USD demonstrated an erratic reaction to the data, sinking after the release but bouncing almost immediately afterwards. Currently, the currency pair trades below the opening level but the drop is very small.
Nonfarm payrolls rose by 287k in June, exceeding market expectations of 175k by a wide margin. May’s already meager increase by 38k was revised even lower to 11k. Unemployment rate went up from 4.7% to 4.9%, above the analysts’ median forecast of 4.8%. Average hourly earnings barely grew, rising by just about 0.1%, while speculators were anticipating the same 0.2% rate of growth in the previous month.
Consumer credit rose by $18.6 billion in May after rising by $13.4 billion in April. Experts had predicted a smaller increase by $16.7 billion.
If you have any comments on the recent EUR/USD action, please reply using the form below.