Euro unemployment rises
The eurozone unemployment rate has climbed to 9.5% in July, up 0.1% from the previous month. This news failed to dent euro exchange rates, which remained in the region of 1.43 versus the US dollar and 0.88 versus the pound due to improved market sentiment from elsewhere in the eurozone. The euro area manufacturing PMI grew to 48.2, indicating an expansion in the manufacturing sector in August.
Unemployment is widely regarded to lag behind growth statistics, and for this reason the rising unemployment rate failed to pressure euro sentiment. Of more interest to markets was the rise in manufacturing levels and the drop in Germany's unemployment, which both support the theory that the eurozone is ending its recession. Inflation is also bottoming out across the region, steady at -0.2% after dipping to -0.7% the previous month.
The euro exchange rate is currently valued at USD1.4239 and GBP0.8814.
The rates quoted above are interbank rates. Client rates may vary according to the volume and timing of the trade.