Forexpros - The euro strengthened against the dollar on Friday in wake of a dismal U.S. employment report that showed the world's largest economy added a net 69,000 jobs in May, far below expectations.
The news sparked talk the Federal Reserve will stimulate the economy to spur more hiring and recovery via quantitative easing, which would weaken the greenback as a side effect.
In U.S. trading on Friday, EUR/USD was trading up 0.33% at 1.2407, up from a session low of 1.2290, and off from a high of 1.2458.
The pair was likely to test support at 1.2290, the earlier low, and resistance at 1.2487, the high of May 30.
In the U.S., the Bureau of Labor Statistics reported earlier that the economy added a net 69,000 net nonfarm payrolls in May, far below expectations for a gain of around 150,000.
The unemployment rate rose to 8.2% from 8.1%.
The news fueled widespread talk the Fed will consider stimulating the economy via monetary easing measure to ensure price stability and more optimal employment rates at the expense of the dollar's strength.
The dollar has strengthened in recent session amid growing European uncertainty, and Friday's jobs report made the currency ripe for profit taking.
The euro, meanwhile, was up against the pound and up against the yen, with EUR/GBP up 0.59% at 0.8073 and EUR/JPY trading up 0.29% at 97.13.
