The offered tone is gathering steam around the shared currency at the end of the week, now taking EUR/USD to record daily lows in the wake of the US labour market report for the month of May.
EUR/USD turns negative post-NFP
Spot is now quickly shedding initial gains after the US economy created 223K jobs during May, surpassing estimates at 189K and up from April’s 159K (revised from 164K). Further data showed the unemployment rate at 3.8%, bettering prior surveys.
Additionally, Average Hourly Earnings – the critical proxy for wage inflation – rose 0.3% inter-month, surprising markets to the upside.
Next on tap will be the ISM Manufacturing, expected to have improved to 58.2 during last month.
EUR/USD levels to watch
At the moment, the pair is losing 0.27% at 1.1661 facing the immediate support at 1.1642 (low May 31) seconded by 1.1511 (2018 low May 29) and finally 1.1479 (low Jul.20 2017). On the upside, a breakout of 1.1724 (high May 31) would target 1.1782 (21-day sma) en route to 1.1830 (high May 22).
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