Good news from Germany: 22K unemployed are off the lists in October. This is far better than expected. In addition, the gain in unemployed for September was trimmed down to 9K from 12K originally reported. The unemployment rate remained unchanged at 6.7%.
EUR/USD is now recovering, escaping the 1.2570 support line.
Update: this is undoubtedly good, but other news is worrying for the euro: regional inflation numbers are weak.
The powerhouse of Europe was expected to report a rise of 4000 unemployed in October after a disappointing rise of 12,000 last month. The unemployment rate was expected to remain unchanged at 6.7%.
EUR/USD was battling with the 1.2570 line before the publication.
The Fed surprised markets with a hawkish stance, and this is the main reason for the pair’s weakness. In addition, Spanish CPI missed, and this provided another push down for the pair.
German states are releasing GDP numbers during the day, with the final read at 13:00 GMT. A monthly drop of 0.1% is expected, while a rise of 0.9% is expected y/y, stronger than 0.8% last month.
The Fed was happy about
