The euro, already down against the dollar at the start of the session, sharply increased its losses on Friday after the publication of US employment data seen positively by the markets.

The euro, already down against the dollar at the start of the session, sharply increased its losses on Friday after the publication of US employment data seen positively by the markets.
In the afternoon, the euro lost 0.87% against the greenback, at 1.1773 dollars. On Thursday, it had reached 1.1916 dollars, its highest since May 2018. The market learned on Friday of the monthly employment report which reported 1.8 million jobs created in July in the United States, a figure much lower than that of June. However, analysts polled by Bloomberg had expected just under 1.5 million. “Many investors were expecting a negative release, but that pessimism will just shift to next month when the report includes the majority of the downturn that stemmed from the resurgence of the virus in states experiencing a second wave,” he said. an analyst for Oanda. With an increase in Covid-19 cases, many states, such as California, Texas, Florida, have indeed had to close restaurants and stores that had reopened a few weeks earlier.
An analyst from German bank Commerzbank, who spoke earlier in the day, said for her part that "even a good report is unlikely to support the dollar over the long term".
For her, the weakness of the dollar is indeed explained above all by the monetary policy of the American Federal Reserve, which has become with the Covid-19 crisis almost as accommodating as that of the European Central Bank, which justifies the rebalancing of the two currencies.
The euro-dollar pair is indeed evolving at levels comparable to those of a little over two years ago, when the Fed initiated a cycle of monetary tightening, completely canceled since March.