Good data on the American economy, together with positive statements by representatives of the Fed, helped the U.S. dollar to win back some of the positions against the euro and the British pound by the end of last week.

According to the report, the U.S. labor market continues to show excellent performance.

Thus, according to the US Department of Labor, the number of jobs outside agriculture in January 2018 increased by 200,000. The unemployment rate, itself, was 4.1%, which was the lowest since December 2000.

Good data on the growth of hourly earnings in the private sector of the U.S. will also have a positive impact on the overall GDP for the first quarter of this year. The growth was 0.34% in January compared to the same period of the previous year at 2.9% in December. Economists expected that the number of jobs outside agriculture will grow by 177,000 in January and the unemployment rate will remain unchanged. It was predicted that hourly earnings will increase by 0.2%.

In January, the index of conditions for doing business in New York has risen. According to the report of the Institute of Supply Management in New York, the index of current conditions for doing business grew to 72.5 points against 56.3 points in December. Let me remind you that the index values above 50 indicate an increase in activity. The expectations index for future business conditions fell in January to 76.1 points against 85.7 points in December. The employment index rose to 58.4 points against 42.9 points in December. .

Production orders in the United States rose again, as the demand for American manufactured goods was noted. According to the report of the US Department of Commerce, production orders grew by 1.7% in December 2017 compared with the previous month, while economists were expecting an increase in orders by 1.5% in December.

The growth of orders was 6% for the entire year of 2017.

Speech by the representative of the Federal Reserve Bank of Kansas City, Robert Kaplan, also positively affected the quotations of the U.S. dollar by the end of the North American session.

Kaplan said that he supports a gradual move, but there should be a deliberate increase in rates, as the U.S. economy in 2018 will remain contentedly strong.

In his perspective, the GDP of the U.S. in 2018 will receive a short-term push from the tax cuts, in connection with the plan of at least three rate increases this year. Kaplan also did not rule out that there could be more increases.

Despite the decline in the euro during Friday trading session, the upside potential in the pair will remain until the breakdown of the support level at 1.2430. A breakout will move the trade into a wide side channel at the levels of 1.2390-1.2515.