The Euro has strengthened against the Pound after Industrial Production data out of Germany smashed economist forecasts and as data out of the UK disappointed.
Sterling fell against most major currencies after data showed that the UK trade deficit widened more than expected and as industrial production fell unexpectedly in August. The disappointing data comes a day after the International Monetary Fund increased its forecast for the UK economy.
According to the UK’s Office for National Statistics industrial output fell by 1.1% on a monthly basis and manufacturing output declined by 1.2%. Economists had been forecasting both sectors to post growth of 0.4%.
In comparison to the UK data Germany smashed economist expectations for its industrial production. Output in Europe’s largest economy recovered in August and added to signs that the Eurozone economy is continuing to recover.
Germany’s Economy Ministry said that output jumped by 1.4% in August, a big improvement on July’s figures which showed that output fell to a revised 1.1%. Economists had been forecasting a rise of 1%.
Against the US Dollar and the main commodity and emerging market currencies the Euro is trading downward. The weakening comes after the US Dollar found broad support after President Barrack Obama announced that he will nominate the pro-monetary easing Janet Yellen to succeed current Federal Reserve Chairman Ben Bernanke. The news bolstered currencies such as the South African Rand, Australian Dollar and New Zealand Dollar.
The European Central Bank publishes its monthly report tomorrow and is likely to other investor’s guidance as to the current strength of the Eurozone economy.
Euro (EUR) Exchange Rates
As of 11:30 am GMT
The Euro/US Dollar Exchange Rate is currently in the region of: 1.3528
The Euro/Pound Sterling Exchange Rate is currently in the region of: 0.8467
The Euro/Australian Dollar Exchange Rate is currently in the region of: 1.4315
The Euro/ New Zealand Dollar Exchange Rate is currently in the region of: 1.6274
The Euro/ Canadian Dollar Exchange Rate is currently in the region of: 1.4038
The Euro/ Japanese Yen Rate Exchange Rate is currently in the region of: 131.6784
The Euro/Swiss Franc Exchange Rate is currently in the region of: 1.2304
The Pound Sterling/ Euro Exchange Rate is currently in the region of: 1.1810
The US Dollar/Euro Exchange Rate is currently in the region of: 0.7391
The Australian Dollar/Euro Exchange Rate is currently in the region of: 0.6988
The New Zealand Dollar/Euro Exchange Rate is currently in the region of: 0.6145
The Canadian Dollar/Euro Exchange Rate is currently in the region of: 0.7126
Swiss Franc/Euro Exchange Rate is currently in the region of: 0.8126