The euro dropped under the 1.06 mark on Friday, hitting a 25-day low of 1.05804 against the U.S. dollar. The last time the euro traded this low was on March 10, 2017.
The drop in the EUR/USD exchange rate was mainly driven by economic data coming out of the United States, which pushed the USD higher on Friday:
The U.S. Bureau of Labor Statistics (BLS) reported on Friday morning that non-farm employment in the United States had grown by 98,000 last month, pushing the official unemployment rate down to 4.5 percent - the lowest reading since April of 2007.
Although the agency's report showed positive job growth in March, the number came in much lower than analysts’ estimates of 174,000 jobs. According to the press release, the American economy added 56,000+ jobs in business services and 11,000+ positions in mining, however, the retail sector saw declines of 30,000+ jobs:
“Employment in general merchandise stores declined by 35,000 in March and has declined by 89,000 since a recent high in October 2016.“Key Highlights:
-Healthcare sector: 14,000+
-Financial sector: 9,000+
-Manufacturing, wholesale trade, transportation, leisure, government and warehousing: little or no change.
-Average workweek for private non-farm payrolls: 34.3 hours
The U.S. Dollar Index rallied after the BLS report, breaking above Wednesday’s high decisively and rising to a 22-day high of 101.26:
Euro coin photo by killerturnip