020 7898 0500The euro received a boost yesterday in the form of monthly German Factory Orders data that came in much better than expected and showed 3.8% growth. As the Eurozone’s strongest economy, Germany’s economic health has a strong bearing on the performance of the seventeen-nation currency and these figures pushed euro back up towards a seven-week high against the US dollar and caused it to strengthen against sterling as well as the majority of its other peers. Euro strength was further aided by Italian preliminary growth figures, which revealed slightly less contraction that was initially expected. More positive data will be needed in order for the euro to build on these short-term gains as data has been relatively poor of late. Today’s German Industrial Production data, detailing the change in value of manufacturing output, will shed further light on Germany’s current economic state and is likely to impact on the day’s performance. Call your trader now to stay abreast of developments.
