The primary currency pair is moving upwards on Thursday. The current EURUSD exchange rate stands at 1.0844.
The euro's recovery against the US dollar is due to yesterday's comments from Federal Reserve Chair Jerome Powell regarding future interest rates. In fact, he merely confirmed that the Fed would rely on recent statistics when making interest rate decisions. The market responds positively to this, suggesting stability, and the Fed is gradually preparing for an interest rate cut in June.
Considering this, the US employment market statistics for March, which are due for release on Friday, are critical.
The consensus forecast suggests that the unemployment rate remained at 3.9%, while average wages surged by 4.1% y/y compared to 4.3% previously. The nonfarm payrolls report might show a 205 thousand increase after skyrocketing by 273 thousand in February.
The probability of an interest rate rise in June is currently estimated at 60%.