020 7898 0500The euro held its ground against the US dollar, trading in a tight range, but made gains against sterling. Meanwhile, data was largely second-tier but suggests that we could see optimism taper.
The German producer price index (factory level inflation) declined by 0.2%, weaker than the forecast of 0.1%. This marked the first decline since September 2016. In addition, the Eurozone’s current account surplus dropped sharply to €22.2bn from €33.1bn and close to €9bn worse than expected. However, there is a very good chance that this figure will be revised.
The day ahead is quiet in terms of economic data but with uncertainty in both the UK and US, there’s still plenty of chance of currency movement.
