EUR/USD: Dollar Gives Up Early Gains as Jobs Report Comes In at Cool 187,000 in August

The monthly nonfarm payrolls came in above expectations for 170,000, sending the euro soaring by more than 50 pips to levels near $1.09.

• The EURUSD pair moved to the upside on Friday as forex traders reacted to another cool report from the US. Jobs data for August arrived at a softer 187,000 as US employers kept tightening their search for new hires. The data, analysts say, will likely keep the Fed satisfied for the time being.
• Last month's nonfarm payrolls were aligned to the 187,000 added in the month prior. What this means for the Federal Reserve is that central bankers might finally apply less pressure on the gas pedal toward higher interest rates.
• In that context, the EUR/USD pair gained some 60 pips post release, advancing to levels near $1.09. On the technical front, the exchange rate is caught right between the 100-day and the 200-day moving average. Hence, the report may be a catalyst for a new move in the making, challenging the dollar's dominance over the euro during the past month.