Data from the Eurozone today showed that the jobless rate fell in October for the first time in over three years to 12.1% from the prior month’s record high 12.2%. This was slightly below expectations for the rate to remain unchanged.
Also, other data showed the Euro region’s inflation rate higher-than-expected. While this should dampen expectations of a rate cut by the European Central Bank, the euro did not move any higher after the news.
The single currency remained flat against the dollar but close to a one-month high of 1.3620 hit in the Asian session today. The euro is still firm above the key $1.36 handle.
The pound was knocked off an eleven-month high against the dollar after disappointing UK data which showed GfK consumer confidence was weaker than expected. Cable eased down to end the session at $1.6334.
The yen rebounded after strong data from Japan on inflation and factory orders.
The euro was slightly off a 5-year high of 139.69 against the yen but ended with marginal gains at 139.26. The dollar traded in a range against the yen during the session to end at 102.29.