Euro and US Dollar

The single currency was fairly lower versus the US dollar after positive third quarter growth figures in the United States raised market sentiments.

The Fed’s recent policy statement showed support for the country’s currency.

EUR/USD was 1.2548 during trading early in the day. This was the lowest since October 6. The currency pair later consolidated at 1.2617. It was down by 0.13 percent.

The pair will possibly obtain support at 1.2502 and resistance of 1.2772.

Market outlook was bolstered after the US Commerce Department publicized that gross domestic product increased at a yearly rate of 3.5 percent during the last three months and projection for three percent.

An independent report revealed that Americans filing for new claims with regards to jobless benefits were up for a second straight week although levels were pointing to resurgence in the labour market.

It stated that initial jobless claims soared to 3,000.

In the euro region, official figures showed that consumer price inflation in Germany progressed at a yearly rate of 0.8 percent this October which was unchanged from September. It compared to projections for a 0.9% reading.

The report came after data indicated that unemployment in Germany dropped by 22,000 in October compared to projections and gained 5,000.

Germany’s unemployment rate remained at 6.7 percent.

Spain’s economy increased 0.5 percent within the last three months and grew 1.6 percent on a yearly basis in accordance with forecasts.

The common currency was also lower versus the pound sterling. The EUR/GBP slipped 0.20 percent to 0.7874.

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