Euro hit by German jobs report
The euro is off versus the US dollar after Germany revealed a worse than expected unemployment figures.
The euro is trading at $1.3618, down 0.1% after Germany announced that unemployment rose in April when analysts were expecting a decline. The disappointing jobless data is not the only economic update from the eurozone that misses expectations. French consumer spending and eurozone money supply both came in below the market consensus, making the possibility of monetary easing by the European Central Bank all the more likely.
The euro is near the low of today’s trading session, and we are not expecting any major economic announcements from the eurozone or US today. As I stated yesterday, the mounting pressure on the ECB could drive EUR/USD below the $1.36 level, and it would struggle to retake the high of $1.3660.