The euro strengthened past $1.19, its highest level since late January, as investors positioned for the closely watched US jobs report due later today. The currency also drew support from signals that the European Central Bank is largely unfazed by the euro’s recent appreciation, as well as reports that Bank of France Governor François Villeroy de Galhau, considered a policy dove, will step down in June, more than a year before his term was set to expire in October 2027. At last week’s meeting, the ECB left interest rates unchanged and reaffirmed that inflation is on track to settle at its 2% medium-term target. President Christine Lagarde said the euro area’s inflation outlook remains in a “good place,” downplaying the impact of the currency’s rally. She cautioned, however, that upcoming data could be volatile and should not be viewed in isolation when shaping policy.
