Euro erases weekly gains upbeat US jobs data fuel Dollar rally

EUR/USD slips on Friday, erasing all gains recorded this week as stronger-than-expected US Nonfarm Payrolls (NFP) data boosts demand for the US Dollar (USD). At the time of writing, the pair trades around 1.1132, down 0.77% on the day.

US Nonfarm Payrolls rise by 165K in October, well above the 65K forecast.

The US economy added 165K jobs in October, more than double the 65K forecast, while September’s increase was revised higher to 60K from 29K.

Average Hourly Earnings rose 0.4% MoM, above the 0.3% expected.

Annual wage growth eased to 3.1% from 3.2%, but came above the 2.9% forecast.

The US Dollar Index (DXY), which tracks the Greenback against a basket of six major currencies, trades around 102.33, up 0.73% on the day.

Against this backdrop, another rate hike in December remains in play as the Fed stays committed to bringing inflation back to its 2% target.

Sales fell 0.7% MoM in September, compared with a 0.1% decline expected, following a 2% drop in August.

Annual growth slowed to 0.4% from 1.3%, below the 0.6% forecast.

US Dollar was the strongest against the New Zealand Dollar.

From FXStreet