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EUR/USD Sinks After Nonfarm Payrolls

December 6, 2019 by

EUR/USD crashed today after the release of US nonfarm payrolls. The currency pair continued to move down as other reports released over the rest of the trading session were good as well. The pair trimmed its losses by the end of trading but still ended Friday with big losses. Nevertheless, EUR/USD ended the week with gains.

US nonfarm payrolls climbed by 266k in November, far exceeding the median forecast of 181k. On top of that, unemployment rate fell unexpectedly from 3.6% to 3.5%. Average hourly earnings rose by 0.2%, missing the consensus forecast of a 0.3% increase. The previous month’s gain got a positive revision from 0.2% to 0.4%. (Event A on the chart.)

Michigan Sentiment Index rose to 99.2 in December from 96.8 in November, beating the average forecast of 97.0 by a wide margin. (Event B on the chart.)

Wholesale inventories rose by 0.1% in October, while experts were predicting the same 0.2% rate of increase as in September. (Event B on the chart.)

Consumer credit rose by $18.9 billion in October after increasing by $9.6 billion in September. The value was better than $16.0 billion predicted by economists. (Event C on the chart.)

If you have any comments on the recent EUR/USD action, please reply using the form below.

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