After Eurozone inflation data met with median market forecast figures, the single currency held relatively steady versus most of its major peers. A fractional declination can be attributed to ongoing concern regarding Greece’s future in the Eurozone.
Euro to Pound Sterling (EUR/GBP) Exchange Rate Softens on British Labour Market Data
The Euro to Pound Sterling (EUR/GBP) exchange rate softened by around -0.40% on Friday afternoon.
European economic data printed in line with predictions on Friday which has seen the common currency avoid continued bearishness. However, ongoing concern regarding the potential for a Greek exit from the Eurozone has stymied gains as traders ponder the currency market ramifications.
The Eurozone Consumer Price Index held at -0.1% on the year in March. On the month, Eurozone CPI improved in line with the market consensus of a rise from 0.6% to 1.1%. In addition, the Eurozone Core CPI met with the median market forecast figure of 0.6%.
The Euro to Pound Sterling (EUR/GBP) exchange rate is currently trending in the region of 0.7177.
After British labour market data produced mostly positive results, the Pound strengthened versus many of its major peers. The advance has been somewhat slow, however, thanks to the forthcoming general election causing heightened caution amid political unknowns.
February’s Average Weekly Earnings came in at 1.7%; failing to meet with the forecast 1.8%. However, Claimant Count Rate dropped from 2.4% to 2.3% in March, February’s Employment Change saw an additional 248,000 newly employed, Unemployment Rate dropped from 5.7% to 5.6%, Jobless Claims Change saw a decline of -20,700 in March and Average Weekly Earnings excluding bonus improved upon the market consensus with a score of 1.8%.
The Euro to Pound Sterling (EUR/GBP) exchange rate was trending within the range of 0.7167 and 0.7220.
Euro to US Dollar (EUR/USD) Exchange Rate Forecast to Trend within Limited Range on Varied US Data Results
The Euro to US Dollar (EUR/USD) exchange rate is currently trending in the region of 1.0766.
In addition to the inflation data mentioned above, Eurozone Current Account data was also published on Friday. February’s seasonally adjusted Eurozone Current Account declined from 30.4 billion to 26.4 billion, whereas the non-seasonally adjusted current account surplus improved from 8.3 billion to 13.8 billion.
The Euro to US Dollar (EUR/USD) exchange rate is currently trending in the region of 1.0765.
The US Dollar edged higher on mixed data results but has struggled to rack up any significant advance as economists pare bets as to the timing of a Federal Reserve rate hike. A recent succession of disappointing results from domestic data has weighed heavily on demand for the ‘Greenback’ (USD).
The US Consumer Price Index excluding Food & Energy improved upon the median market forecast in March; rising from 1.7% to 1.8% on the year. However, March’s CPI declined by -0.1% on the year. The mixed results have seen the US Dollar edge higher with many speculating that the move into deflation is as a result of energy prices, which could return to bullishness soon.
The Euro to US Dollar (EUR/USD) exchange rate was trending within the parameters of 1.0736 to 1.0849.