Waller's Comments Weigh on EUR/USD as Traders Await US NFP Data
The EUR/USD pair is trading on a flat note around 1.1625 during the early Asian session on Friday, as traders wait for the US Non-Farm Payrolls (NFP) data to be published later in the day.
Federal Reserve Governor Christopher Waller's comments that he leans towards keeping interest rates steady at the Fed's September meeting, provided there are no surprises from upcoming inflation data, has caused a slight shift in market expectations.
The market-implied chance for a rate hike at the September policy meeting fell to 50.2% after Waller's remarks, down from 63.2% on Wednesday, according to the CME FedWatch tool.
Economists expect the US economy to add 56,000 jobs in August, while Unemployment Rate is projected to hold steady at 4.1% during the same period. Any signs of improvement in the US labour market could provide support to the US Dollar (USD) against the Euro (EUR).
The European Central Bank (ECB) is likely to raise interest rates at its September policy meeting for the second and final time, according to a Reuters poll published on Thursday.