The Euro has edged higher against the Pound and a number of its most traded peers after German inflation data came in unchanged at its lowest level in three-months in September.
The single currency has had a fairly hectic day after beginning the session weaker against its peers and making moves in either direction as data releases from elsewhere in the world were released. According to the Federal Statistics office based in Wiesbaden, annual consumer growth remained steady at 1.6%, in line with economist expectations.
The steady level is good news for domestic consumer consumption and has been bolstered by the end of the Eurozone’s record long recession. The Bundesbank said earlier in the week that slowing inflation is helping to support the positive consumer climate in Europe’s largest economy.
Germany is leading the economic recovery in the Eurozone and is enjoying an unemployment rate at a twenty year low and is benefitting from the wider global recovery. As a result of the data German consumer confidence is expected to hit its highest level since September 2007.
“This is the beginning of what could be a solid recovery, the economy could beat the ECB’s relatively cautious forecasts, but very low rates of inflation should keep any premature talk of policy tightening at bay. The ECB will keep rates low well into next year,” said Robert Wood, an economist at Berenberg Bank.
Adding to signs that the Eurozone is recovering was the release of better than expected Economic confidence data.
Euro (EUR) Exchange Rates
As of 14:45 pm
The Euro/US Dollar Exchange Rate is currently in the region of: 1.3508 >
The Euro/Pound Sterling Exchange Rate is currently in the region of: 0.8401 >
The Euro/Australian Dollar Exchange Rate is currently in the region of: 1.4487 >
The Euro/ New Zealand Dollar Exchange Rate is currently in the region of: 1.6308 >
The Euro/ Canadian Dollar Exchange Rate is currently in the region of: 1.3950 >