# Euro-Dollar Surges as Odds of Emergency Federal Reserve Rate Cut Grows

> The euro rose about 1% against the dollar to around 1.0905 after July US payrolls rose only 114K versus expectations near 176K, and unemployment unexpectedly rose to 4.3%. Markets increased bets on a larger or even inter-meeting Fed cut.

- Date: 2024-08-02 · published 2024-08-02T12:00:00.000Z
- Category: macro · region US · magnitude medium
- Page: https://feedsoft.ai/events/9284-euro-dollar-surges-as-odds-of-emergency-federal-reserve-rate-cut-grows
- Commodities: [Euro (USD per EUR)](https://feedsoft.ai/c/EURUSD.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A softer dollar on expected Fed easing tends to support dollar-denominated grain and oilseed prices and can improve import demand from currency-sensitive buyers.

## Read by commodity

- DXY: bearish ▼
- EURUSD: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| EURUSD | 2024-08-02 | 1 | +1.2% | 3.7 | Payrolls of 114K vs ~176K and a rise in unemployment to 4.3% raised bets on larger or emergency Fed cuts, pushing EUR/USD up about 1% to ~1.0905. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| EURUSD | 2023-12-14 | [Euro-Dollar Closing On 1.10 As ECB Resists Rate Cut Bets](https://feedsoft.ai/events/8300-euro-dollar-closing-on-1-10-as-ecb-resists-rate-cut-bets.md) | +1.5% | +1.5% |
| EURUSD | 2019-10-31 | [Euro rises as dollar weakens on questions about more Fed rate cuts](https://feedsoft.ai/events/56782-euro-rises-as-dollar-weakens-on-questions-about-more-fed-rate-cuts.md) | -0.4% | -0.9% |
| EURUSD | 2023-04-13 | [Euro Surges to Strongest in a Year as Fed-Cut Bets Batter Dollar - Bloomberg](https://feedsoft.ai/events/36584-euro-surges-to-strongest-in-a-year-as-fed-cut-bets-batter-dollar-bloomberg.md) | -0.3% | -0.2% |
| EURUSD | 2020-07-30 | [Forex markets: Dollar, U.S. Federal Reserve in focus](https://feedsoft.ai/events/52297-forex-markets-dollar-u-s-federal-reserve-in-focus.md) | +1.1% | +0.4% |
| EURUSD | 2020-03-05 | [Dollar surrenders to euro and yen as rate supremacy ends \| Financial Post](https://feedsoft.ai/events/7150-dollar-surrenders-to-euro-and-yen-as-rate-supremacy-ends-financial-post.md) | +1.3% | -1.8% |
| DXY | 2024-08-26 | [Interest rates: US dollar sinks as traders position for rate cuts by the Federal Reserve](https://feedsoft.ai/events/28691-interest-rates-us-dollar-sinks-as-traders-position-for-rate-cuts-by-the-federal.md) | +0.7% | -0.0% |
| DXY | 2024-08-05 | [Dollar down as US rate cut bets rise, yen surges](https://feedsoft.ai/events/7431-dollar-down-as-us-rate-cut-bets-rise-yen-surges.md) | -0.4% | -0.9% |
| DXY | 2023-12-14 | [Euro-Dollar Closing On 1.10 As ECB Resists Rate Cut Bets](https://feedsoft.ai/events/8300-euro-dollar-closing-on-1-10-as-ecb-resists-rate-cut-bets.md) | -1.3% | -1.3% |

## Sources

- poundsterlinglive.com: https://www.poundsterlinglive.com/eurusd/20635-euro-dollar-surges-as-odds-of-emergency-federal-reserve-rate-cut-grows

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.