EUR/USD news for September 5, 2026
The Euro has slipped against the US Dollar following a much stronger than expected US jobs report for August, which has reinforced market expectations for a near-term Federal Reserve interest rate hike. A robust labor market typically supports a firmer dollar, and these developments have put EURUSD under pressure. However, the exact market reaction may vary as traders digest the data amid other economic signals.
How the day unfolded
EURUSD is being driven by divergent monetary policy expectations between the Federal Reserve and the European Central Bank. A much stronger-than-expected US jobs report for August has reinforced the case for a Fed rate hike, which initially pressured the euro lower against the dollar. However, comments from Fed official Waller that tempered rate-hike bets temporarily supported the euro, while markets also anticipate an ECB rate hike in September.
The euro slipped against the US dollar after US nonfarm payrolls significantly exceeded expectations, reinforcing the case for a Federal Reserve rate hike. Meanwhile, the ECB is widely expected to raise rates at its upcoming meeting, but the market focus is on the Fed's policy path following the robust jobs data.
The euro slipped against the US dollar after August Nonfarm Payrolls far exceeded expectations, reinforcing the case for a Federal Reserve rate hike in September and supporting the greenback. Meanwhile, the ECB is still widely expected to hike rates on September 10, but the dollar's strength from the robust jobs report is currently the dominant driver for EURUSD.
EURUSD is being driven by conflicting signals from US economic data and Federal Reserve commentary. A stronger-than-expected August jobs report has reinforced expectations for a September rate hike, which typically supports the US Dollar and pressures EURUSD. However, comments from Fed official Waller have tempered rate-hike bets, providing some support for the Euro and offsetting the dollar's gains.
The US dollar strengthened against the euro after August nonfarm payrolls significantly exceeded expectations, increasing the likelihood of a Federal Reserve rate hike in September. This robust jobs data, highlighted by strong gains in hospitality and education, reinforced market expectations for tighter US monetary policy, which typically supports the dollar and puts downward pressure on EURUSD.
Strong US payroll data boosted expectations for a Federal Reserve rate hike, which typically supports the US Dollar and weighed on EUR/USD. The upbeat August jobs report, which exceeded forecasts, signaled economic resilience and shifted market focus toward tighter monetary policy. Consequently, the euro slipped against the dollar as traders reassessed the likelihood of a September rate increase.
The euro weakened against the US dollar after August nonfarm payrolls came in well above expectations, with headlines highlighting that the strong data 'crush[ed] expectations' and 'bolsters odds of September rate rise.' This strengthening labor market report has increased the likelihood of a Federal Reserve rate hike, which typically supports the dollar, putting downward pressure on EURUSD.
Headlines (12)
- Economists agree: ECB to hike rates on September 10 – Reuters pollwww.fxstreet.com · Sep 3, 11:30 UTC
- Euro gains against US Dollar as Waller tempers Fed rate-hike betswww.fxstreet.com · Sep 3, 14:10 UTC
- Catch-up: Waller sent stocks rocketing higher in the USinvestinglive.com · Sep 3, 22:26 UTC
- Euro steadies above 1.1600 as traders await US NFP datawww.fxstreet.com · Sep 4, 00:49 UTC
- Forex Today: US Dollar retreats on easing Fed rate hike bets, focus shifts to NFPwww.fxstreet.com · Sep 4, 06:41 UTC
- U.S. job growth smashes expectations in August, unemployment rate remains flatwww.investing.com · Sep 4, 12:35 UTC
- US NFP Smashes Forecasts With 162k Growth, July Revisions Turn Positivewww.actionforex.com · Sep 4, 12:39 UTC
- Hospitality and education boosts US job creation in Augustwww.bbc.co.uk · Sep 4, 12:56 UTC
- Euro slips against US Dollar as Nonfarm Payrolls crush expectationswww.fxstreet.com · Sep 4, 13:19 UTC
- U.S. economy added many more jobs than expected in August. What Wall Street is sayingwww.cnbc.com · Sep 4, 13:29 UTC
- Strong August US payrolls report bolsters odds of September rate risewww.ft.com · Sep 4, 13:35 UTC
- US jobs report beats all expectations, boosts case for a September hikethink.ing.com · Sep 4, 13:42 UTC
Scheduled events
As of 23:54 UTC
- 2026-09-07 — German Industrial Production m/m · forecast 0.1% · EUR
- 2026-09-07 — French Trade Balance · EUR
- 2026-09-07 — Sentix Investor Confidence · forecast 2.1 · EUR
- 2026-09-07 — Revised GDP q/q · forecast 0.4% · EUR
- 2026-09-07 — Final Employment Change q/q · forecast 0.1% · EUR
- 2026-09-07 — Bank Holiday · USD
- 2026-09-07 — German 10-y Bond Auction · EUR
- 2026-09-07 — German WPI m/m · EUR
Not investment advice. For informational purposes only.