Flash: NFP data leads to profit taking - UBS

FXstreet.com (Córdoba) - The drop in the unemployment rate from 7.0% to 6.7% in Friday's US labor market report was taken as a one-off factor, caused by a fall in the participation rate, commented the UBS analyst team.

Key Quotes

"It is no signal of underlying strength in the labour market, given that the non-farm payrolls were surprisingly low with 87'000 newly employed".

"This report gives little incentives to the Fed to hike rates soon and therefore the USD lost some traction on Friday afternoon".

"Markets took profit on EURUSD ahead of the weekend".