EUR/USD Holds Steady Amid Fed and ECB Hawkishness
The US jobs report delivered a surprise boost to the dollar, but EUR/USD has stabilized around 1.1610 after an initial decline. The strong NFP numbers increased expectations of another rate hike from the Federal Reserve in September, but the dollar struggled to sustain its gains.
Both the Fed and European Central Bank (ECB) are expected to tighten policy this week, with the ECB meeting on September 10 and the Fed's decision on September 15-16. Traders are watching how hawkish each central bank will be compared to the other.
The EUR/USD pair has been trading in a tight range, with resistance at 1.1620 and support at 1.1600. A sustained move above 1.1620 could bring 1.1630 and 1.1641 back into focus, while a break below 1.1600 would weaken the latest recovery.