Euro-to-Dollar Exchange Rate Sees Significant Recovery Amid Weak Jobs Data

The Euro to US Dollar exchange rate has seen a significant recovery in recent weeks, and analysts at ING are now predicting that it could reach as high as $1.18 by year-end.

This comes after a surprisingly poor US jobs report was released on Friday, which showed a decline of 23,000 jobs in July, while the previous two months were revised down by a combined 103,000.

ING described the report as 'surprisingly weak' and stated that the unemployment rate fell to 4.1% due to a drop in labour-force participation, rather than actual job gains.

This development has reinforced ING's view that the Federal Reserve will remain on hold, with no interest rate hikes expected this year.