Euro Edges Higher After Weak US Labour Data, Cheaper Oil Dampen Rate-Hike Outlook
EUR/USD moved modestly higher on Wednesday as softer-than-expected US jobs figures and falling oil prices reduced the urgency for further Federal Reserve tightening.
Softer US labour market data released on Wednesday pointed to a cooling jobs market, missing consensus estimates. At the same time, lower crude oil prices eased energy-driven inflation concerns.
The combination tempered bets on additional Federal Reserve rate hikes, with markets repricing the policy path. Consequently, the US dollar came under broad pressure.
The euro benefited from the dollar's weakness, lifting EUR/USD into positive territory for the session. The move remained modest, reflecting a cautious market ahead of further central bank commentary.
Source: FXStreet Forex News