Private DCN Private DCN - Euro

Euro lacks support from economic data

By Michael Cooper January 11th, 2017

Yesterday saw little in the way of significant economic data in the Eurozone. France released their industrial production figures, which showed an improvement. Belgium issued short term bonds, which saw the country’s borrowing costs increase slightly – but remain in negative territory. Irish consumer confidence and Finnish industrial production saw figures fall from last month’s data. The euro (EUR) lost some ground against the pound (GBP) and the dollar (USD); however, it still remains significantly stronger than it has been over the last couple of weeks.

Today isn’t much more exciting in terms of data. The highlight will be Germany’s issue of 10 year bonds, which will give a clear indication of investors’ expectations for inflation in Europe’s largest economy. Greek and Portuguese consumer price data, Spanish industrial production figures and an Italian bond sale will complete the day. These data releases are unlikely to move the euro (EUR) on their own, and investors will likely continue to focus on the political events on both sides on the channel – and indeed the Atlantic.