Janet Yellen’s speech triggered a sharp decline of the US dollar across the board. EUR/USD jumped from 1.1200 to 1.1270 and recently broke above approaching 1.1300 on another wave of selling of the US dollar in the market.
The pair peaked at 1.1292, the highest level since March 18. Now the euro eyes 1.1300 and also March highs that lie at 1.1341. Currently, it trades at 1.1285, up almost a hundred pips from yesterday’s closing price, rising for the second day in a row.
After Yellen, now employment
With Yellen’s presentation behind, market attention now turns to US employment data. On Wednesday, it will be the ADP private employment payroll report and on Friday the NFP.
Today, the dovish tone of the Chair of the Fed lowered interest rate expectation; better-than-expected jobs numbers could offset the impact but investors will also look into details and income data. Income growth has been the constant negative of the employment reports.
Trade the nonfarm payrolls report – Live Coverage & Analysis
(Market News Provided by FXstreet)