The EUR/USD turned flat late on Thursday, spurred by rumors that the White House is considering Federal Reserve Governor Christopher Waller as the top candidate to be the next Fed Chair, succeeding Jerome Powell. Economic data in the US has been ignored by investors, who are digesting Trump's choice to replace Kugler with Dr. Stephen Miran for a period that would end in January 2026. The pair trades at 1.1661.

Bloomberg revealed that "Trump advisers are impressed with Waller's willingness to move on policy based on forecasting, rather than current data, and his deep knowledge of the Fed system as a whole," in a news article called "Waller Emerges as Favorite for Fed Chair Among Trump Team."

Waller, who was one of the dissenters at last week's Federal Open Market Committee (FOMC) meeting, leaned dovish and commented that the labor market was beginning to show signs of cracking. He was vindicated by the dismal revision for May and June employment reports and further confirmed by today's data.

The EUR/USD dipped on the news as the Greenback strengthened somewhat, capping the pair's advance toward 1.1700.

On the economic data front, the number of Americans who signed up to get unemployment benefits exceeded forecasts last week. Alongside this, Continuing Claims, which are recurring applications for jobless claims, surged to their highest level since November 2021, the Department of Labor announced.

Across the pond, German Industrial Production (IP) fell over the last three months, by -1.6% in April, -0.1% in May, and -1.9% in June. IP fell to its lowest level since April 2010, excluding the COVID-19 dip in March 2020.

Traders' eyes turn to Federal Reserve officials' speeches, with participants eyeing cues about the Fed's next move. On the data front, the University of Michigan Consumer Sentiment for August will be unveiled, along with inflation expectations.

Source: Investing.com