German data leaves Euro in the dark

Yesterday’s important German unemployment and inflation figures ended up having a neutral effect on the Euro, as unemployment came out marginally better than expected, with inflation slightly lower than the predicted 0.6%. The two figures balanced each other out and we ended up back where we started in terms of rates for sending money to Germany and of course the rest of the Eurozone for those of you buying property or importing goods.

Although German unemployment is now at a record low (6.6%), which would normally strengthen the Euro, the lower inflation figure increases the risk of deflation in the single currency zone, cancelling out the earlier positive news.

The US Dollar continued its current trend yesterday too, with the Pound losing the best part of a cent against the Greenback through the day’s trading.

Today sees inflation figures for the Eurozone as a whole released at 10am. If we see inflation heading closer to zero, deflation fears will be increased and we could see some Euro weakness and an opportunity for those of you buying the single currency.

There is no other main data out today apart from Canadian GDP (1.30pm) and then we await the start of December’s monthly releases next week.

Today is also ‘Black Friday’, an while we don’t have any special offers on at Currency Index, we are here to save you money any day of the year by using our award-winning service instead of your bank to send your international payments.