Investing.com - The euro fell to more than one-week lows against the dollar on Friday, one day after a robust U.S. employment report for June eased concerns over the outlook for the economic recovery.
EUR/USD ended Friday’s session at 1.3594, down 0.35% for the week.
The pair is likely to find support at 1.3550 and resistance at 1.3600.
The Labor Department reported Thursday that that U.S. economy added 288,000 jobs last month, well above expectations for jobs growth of 212,000. The previous month’s figure was revised up to a gain of 224,000 from a previously reported increase of 217,000.
The unemployment rate ticked down to 6.1% from 6.3% in May, the lowest in almost six years. The data was released a day early, ahead of Friday’s Independence Day holiday.
The upbeat data revived expectations that the Federal Reserve could bring forward its timetable for raising interest rates.
The euro came under pressure after the European Central Bank repeated its forward guidance that rates will remain on hold at present or lower levels for an extended period.
The ECB also reiterated that it could use "unconventional measures" to combat persistently low levels of inflation in the euro area.
The ECB left all rates on hold on Thursday, in a widely anticipated decision, after cutting rates to record lows in June.
The single currency was lower against the yen on Friday, with EUR/JPY down 0.24% to 138.74, off Thursday’s one-month highs of 139.26.
The euro fell to almost two-year lows against the stronger pound on Friday, with EUR/GBP down 0.14% to 0.7921, the weakest since September 2012.
Demand for sterling continued to be underpinned by expectations that the deepening economic recovery in the U.K. will prompt the Bank of England to raise interest rates before the end of this year.
In the week ahead, investors will be focusing on Wednesdays’ minutes of the Federal Reserve’s June meeting, with few other major economic reports on the calendar.
Ahead of the coming week, Investing.com has compiled a list of this and other significant events likely to affect the markets. The guide skips Monday, as there are no relevant events on this day.
Tuesday, July 8
In the euro zone, Germany is to publish data on the trade balance, the difference in value between imports and exports.
Wednesday, July 9
The Federal Reserve is to publish the minutes of its June meeting.
Thursday, July 10
France is to publish reports on consumer prices and industrial production, while the ECB is to publish its monthly bulletin.
Later Thursday, the U.S. is to release the weekly government report on initial jobless claims.
Friday, July 11
Spain is to publish revised data on consumer inflation.