Friday saw the euro slip back below the 1.05 handle after better than expected non-farm payroll (nfp) data which reinforced the tight labor market in the U.S.. Average earnings surprised to the upside which could contribute to sustained inflationary pressures. Much is going in favor of the euro that has not been as a direct consequence of actions within the eurozone but rather external factors including easing of COVID restrictions in China, a dovish Jerome Powell, weaker gas prices and fading inflation in the U.S.. This leaves the euro exposed to external factors and could bring the currency under pressure should the tide change.