Economic data from the Eurozone fails to deliver EUR support. With COVID-19 back in the spotlight, central bank chatter will be in focus next along with German inflation figures.
It was a busier economic calendar this morning, with inflation and economic sentiment in focus.
Spain’s annual rate of inflation picked up from a revised 5.4% to 5.5% versus a forecasted 4.0%. The HICP increased by 5.6% in November, year-on-year. In October, the HICP had been up by 5.4%.
According to Ine.es,
In November, the Economic Sentiment Indicator fell from 118.6 to 117.5, with the consumer confidence index down from -4.8 to -6.8, which were in line with forecasts.
According to the EU Commission,
The Employment Expectations Indicator increased by 1.7 points to 115.6, the highest level since Jan-2018.
Ahead of today’s stats, the EUR had risen to a pre-stat and current day high $1.13185 before hitting reverse.
In response today’s stats, the EUR fell to a post-release and current day low $1.12602.
At the time of writing, the EUR was down by 0.23% to $1.12920.
Inflation figures from Germany are due out ahead of U.S Treasury Yellen’s scheduled speech.
Later in the day, ECB President Lagarde, FED Chair Powell, and FOMC member chatter will also be in focus. The markets will be looking for central bank views of the latest COVID-19 strain and government responses to contain the spread of the virus.
With over 20 years of experience in the finance industry, Bob has been managing regional teams across Europe and Asia and focusing on analytics across both corporate and financial institutions. Currently he is covering developments relating to the financial markets, including currencies, commodities, alternative asset classes, and global equities.