Strengthening in the European currency continues despite weak statistics from the Eurozone.
The single European currency continued to rise on Wednesday afternoon. The current price in the EUR/USD pair is 1.1411. It is the maximum since 16 of September.
Today it became known that the volume of industrial production in August in the euro zone fell by 0.5% m/m (+ 0.9% y/y), offsetting the July increase of 0.8% m/m. At the same time, for countries inside the EU, industrial production dipped by 0.3%.
The components of the report submitted by Eurostat, said that the biggest fall for the euro area in August was in the production of electricity and capital goods. With this, durable goods manufacturing even increased. In particular the latter point is no surprise - business is always prepared for a dip in the autumn and winter demand for goods, it is an annual cycle.
For the EU, which today includes 28 countries, the main decline in industrial production also fell on the energy sector. The best performance in terms of industrial production in August was from Ireland, the weakest - Slovakia.
All of this data was not news for the currency market. Industrial production showed very heterogeneous data is the last three-four months. A more substantive and objective picture is provided by the releases on the manufacturing sector.
Today, the market's attention will be focused on an evening block of statistical data on the United States. Wednesday and Thursday will be all day US statistics - here is data on retail sales figures and August inventories. Most bidders are interested in figures on inflation, but they will come later this week.
RoboForex Analytical Department
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