Even with the latest economic data out of the eurozone, the 18-nation currency is gaining ground today. Evidence that the eurozone economy has stalled, prompting concerns about a return to recession, hasn’t been enough to dampen the euro today.
Euro is heading higher against its major counterparts today, even after the latest data from the eurozone. Eurozone GDP has stalled, following a few months of weak growth. Even with the threat of recession, though, the euro is heading higher.
There are a number of issues weighing on the eurozone right now. First of all, German output fell more than expected. Germany is the largest economy in the eurozone, and is often seen as a bellwether and a leader. On top of that, the eurozone economy is threatened by the situation in the Middle East, as well as the sanctions against Russia, thanks to the situation in Ukraine.
Even so, the euro is heading higher against its major counterparts, even as commodities struggle. It’s an interesting dynamic. However, some expect that the euro will have to fall soon, due to the ECB taking action to stimulate the economy.
At 13:55 GMT EUR/USD is up to 1.3404 from the open at 1.3365. EUR/GBP is up to 0.8033 from the open at 0.8008. EUR/JPY is up to 137.2105 from the open at 136.8765.
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