Euro Soft as Positive Jobs Data Weighs

By: Barbara Zigah

The U.S. Dollar touched on a 3-week high against the common currency during the Asian trading session, following Friday’s U.S. jobs report which was not only better than expected but revised upward the two previous months data, suggesting that the U.S. economy might not be in need of any further Fed easing measures. Analysts say that as regards the Euro’s weakness, so much had already been priced into the common currency ahead of the debt Greek swap that it was inevitable that it would soften after the event. As reported at 2:30 p.m. (JST) in Tokyo, the Euro was trading lower at $1.3087 on the EBS trading platform, only a few pips away from the overnight low of $1.3085 and the lowest level for the EUR/USD pair since mid-February. Most analysts concur that any support for the Euro is likely limited in the near term, as too many uncertainties and negatives continue to concern investors.

The U.S. Dollar Index, which gauges the greenback’s value versus several major currencies, edged higher to 80.104 .DXY, a 3-week peak. This follows the U.S. Bureau of Labor Statistics report which said that more than 200,000 new non-farms jobs were added in February, the third consecutive month, which heralds a stronger trend that first believed.