The Pound Sterling has strengthened against the Euro after data of the single currency blocs largest economy largely disappointed as the UK currency found support from better-than-forecast housing data.
The Euro fell after the latest retail sales and consumer confidence data showed a decline in Germany and after unemployment in Italy jumped to a record high in September sparking concerns that the Eurozone recovery is slowing and at risk.
According to the Rome-based national statistics office unemployment in the Eurozone’s third largest economy hit a new historic high level of 12.5% in September, up from the 12.4% seen in August. The data means that the number of people out of work in Italy is at its highest level since records began back in the first quarter of 1977. The figure was above the fall to 12.3% predicted by many economists.
Youth unemployment in the country also hit a new record high of 40.4% from the 40.2% recorded in the preceding month. The increase in unemployment is being blamed on the ongoing political turmoil in the country and the disappointingly weak Eurozone economy as a whole.
With all the talk of a recovery the markets seem to have forgotten that in reality the region has not made much of a recovery at all, instead it looks to be reversing any of the upswings it’s recently seen in its fortunes. Unemployment remains staggeringly high in Spain, Portugal and Greece and confidence is wavering in Germany and other major Euro nations.
The Pound meanwhile gained in strength as house prices in the UK rose at their fastest annual rate in more than three years. Prices have surged by 5.8% over the past year and jumped by 1% in one month alone. Further gains were limited however after a consumer confidence report showed a slowdown in October. Economists are expecting that figure to rebound later in the year as the UK economy continues to improve.
As of 10:30 am GMT
The Euro/US Dollar Exchange Rate is currently in the region of: 1.3703
The Euro/Pound Sterling Exchange Rate is currently in the region of: 0.8551
The Euro/Australian Dollar Exchange Rate is currently in the region of: 1.4409
The Euro/ New Zealand Dollar Exchange Rate is currently in the region of: 1.6554
The Euro/ Canadian Dollar Exchange Rate is currently in the region of: 1.4333
The Euro/ Japanese Yen Rate Exchange Rate is currently in the region of: 134.6350
The Euro/Swiss Franc Exchange Rate is currently in the region of: 1.2334
The Pound Sterling/ Euro Exchange Rate is currently in the region of: 1.1694
The US Dollar/Euro Exchange Rate is currently in the region of: 0.7297
The Australian Dollar/Euro Exchange Rate is currently in the region of: 0.6940
The New Zealand Dollar/Euro Exchange Rate is currently in the region of: 0.6040
The Canadian Dollar/Euro Exchange Rate is currently in the region of: 0.6976
Swiss Franc/Euro Exchange Rate is currently in the region of: 0.8107
