Although lower today compared to yesterday’s trading session, the EUR has been holding its own despite weak results in recent Eurozone data. Both the Germain Industrial Production and French Trade Balance data releases yesterday both came lower than their forecasts. While the data did come back weaker than expected, the resilience in the EUR has been mostly due to weakness in the USD as investors have been lowering their expectations over further interest rate increases.
Later this evening, more Eurozone data will be released such as the German Trade Balance, Italian Monthly Unemployment Rate and Eurozone Unemployment rate. All expected to have an impact on the EUR depending on the actual figure release compared to its forecast. Despite the recent torrent of Eurozone data releases, most investor’s expectation is on the European Central Bank’s minutes meeting release tomorrow night to provide the biggest insight in the economic condition of the Eurozone.
The EUR opened against the USD at 1.1438 this morning.