NEW YORK, July 6 (Reuters) - The dollar rose for a third straight session on Friday after data showed the U.S. economy generated more jobs than expected in June, easing concerns that the Federal Reserve may cut interest rates this year.
The government's non-farm payrolls report, the most closely watched barometer of the health of the U.S. labor market, showed that 132,000 jobs were created in June, beating the consensus forecast of 120,000 in a Reuters poll.
The euro was down 0.2 percent on the day at $1.3575, around one cent below a record high hit in April. The dollar was up 0.4 percent at 123.48 yen .

"Positive for the U.S. dollar with the non-farm payrolls slightly higher than expected and a significant prior month upward revision," said Matthew Strauss, senior currency strategist at RBC Capital Markets in Toronto.
The Labor Department revised its estimate for May job growth up to 190,000 from a previously reported 157,000 and said there were 122,000 new jobs in April instead of the 80,000 it previously estimated.
U.S. short-term interest rate futures fell after the payrolls data, and were pricing in just a 6 percent chance the Fed will cut benchmark rates by year-end, around half the probability implied by financial markets late on Thursday.
The dollar has fallen to 26-year lows against sterling this week and close to a record low against the euro on a view that the prospect of rising rates in the euro zone and Britain will lure yield-hungry investors away from the greenback