The euro was deep under water on Friday, having suffered its steepest fall in three years after the European Central Bank stunned markets by cutting interest rates and embarking on a trillion-euro asset-buying binge.
The aggressive shift sent short-term bond yields into negative territory in Germany, France, the Netherlands and Austria, giving investors an overwhelming incentive to sell euros for higher-yielding assets elsewhere.
That stood in stark contrast to the United States, where upbeat data only reinforced the case for the Federal Reserve to wind down its stimulus, driving the dollar higher and sideswiping oil and gold in the process.
After surging on Thursday, European share markets looked set to start in a cautious mood as the US payrolls report loomed large later in the session. Financial spreadbetters tipped losses of 0.1% to 0.2% for the FTSE 100, DAX and CAC 40.
In Asia, Japan's Topix stalled just short of its January peak. Chart resistance is tough as a break there would take it to levels last seen in July 2008.
Chinese stocks extended their bull run, with the CSI300 of the leading Shanghai and Shenzhen A-share listings barrelling to their best in over eight months.
MSCI's broadest index of Asia-Pacific shares outside Japan eased back 0.6%, having already reached its loftiest level since early 2008.
The Dow had eased 0.05%, the S&P 500 lost 0.15% and the Nasdaq 0.22%.
The euro was licking its wounds at $1.2934, after hitting a 14-month low of $1.2920 overnight, and it seemed destined to test the July 2013 trough of $1.2898.
It hit a one-month low on the yen at 135.97, while the dollar briefly spiked to a six-year peak of 105.71 yen before steadying at 105.35.
The single currency's capitulation came after ECB President Mario Draghi announced a range of rate cuts and a new plan to push money into the flagging euro zone economy.
In a news conference, Draghi said the aim was to expand the bank's balance sheet back to the heights reached in early 2012, which equates to a rise of around 50% or 1tn euros in new assets.
"The Governing Council will be pumping money into the economy while simultaneously penalising European banks that do not spend it," said Valentin Marinov, an analyst at CitiFX.
"To the extent that at least some part of that money will head abroad, the turbo-charged easy money will likely invigorate euro-funded carry trades," said Marinov.