The greenback ticked up on Friday, recovering before the most anticipated the monthly jobs report, while the euro dropped further after disappointing German industrial orders.

The dollar index that gauges the greenback versus its major pairs, edged up by 0.5% to 102.325, after dropping close to 2% to the lowest level in six months on Thursday, It faced its steepest decline since November 2022.

On Friday, the dollar made a slight rebound following the sharp decline in the previous session, which was triggered by President Donald Trump's announcement of a broad 10% tariff on all imports, along with significant country-specific tariffs, including as high as 54% on Chinese products.

The tough trade measures led to a steep selloff in U.S. stocks, with major indices suffering their worst day in months as investors flocked to safe-haven assets, lowering Treasury yields and putting pressure on the dollar.

Despite Friday’s gains, Deutsche Bank cautioned that a loss of confidence in the U.S. dollar, the top global reserve currency, could trigger major shifts in capital flows, leading to disorderly currency movements.

The key March jobs report is set for release later, with investors looking for insights into the U.S. economy amid rising concerns over Trump’s tariffs and their impact on growth and inflation.

Federal Reserve Chair Jerome Powell will speak later, as the central bank faces the dual challenge of rising consumer prices and the growing risk of recession due to reduced spending.

EUR/USD dipped 0.7% lower to 1.0975, The euro gave back some of Thursday’s gains, when it surged 1.8%, its largest daily increase since November 2022, reaching 1.1147, a level not seen since late September.

GBP/USD dropped 1% lower to 1.2971, plunging after touching a peak in October during Thursday’s session.

USD/JPY added to 146.44, post plunging 2%, the lowest level in 6 months in the earlier session.