The primary currency pair on Monday remains under pressure. The current EURUSD exchange rate stands at 1.0770.
So, the US dollar is rapidly appreciating. Following the Federal Reserve’s comments last week, investors have abandoned any expectations of an interest rate increase in March.
The January employment report released last Friday further solidified the market's confidence in the sustainability of the US economy.
Average hourly earnings increased by 0.6% m/m, surpassing the expected 0.3% rise. Non-farm payrolls (NFP) increased by 353 thousand, exceeding the forecasted 187 thousand. December's reports were revised upwards to 333 thousand. The unemployment rate remained at 3.7%, although an increase to 3.8% had been anticipated.
The employment sector is remarkably robust, causing concern for the Federal Reserve.