Данные в первой половине дня по экономике еврозоны оказали лишь временную поддержку европейской валюте, однако неудачная попытка The data in the first half of the day on the economy of the euro area had only temporary support for the euro. An unsuccessful attempt to gain a foothold above important technical levels of resistance led to a decrease in EURUSD and GBPUSD in the second half of the day.
According to the report of the German National Bureau of Statistics, Germany's consumer price index in August this year increased by 1.8% compared to the same period last year. This fully confirmed the preliminary assessment. Compared to July, inflation in Germany increased by 0.1%.
Same as before, the main support for the index was provided by energy prices, which rose by 2.3% in August compared to the same period of the previous year. The base index increased by only 1.6%. The data fully coincided with the forecasts of economists.
Data on industrial production of the eurozone slightly pleased economists. This again indicates that the region's economy continues to show a slowdown after a good 1st and 2nd quarter.
According to the report, industrial production in August increased by only 0.1% compared to the previous month. Compared to the same period in 2016, production increased by 3.2%. The result fully coincided with the expectations of economists.
The US dollar began to rise against the euro and the British pound after the publication of the report, which pointed to the growth in the US producer price index.
According to the US Department of Labor, the producer price index in August this year rose by 0.2% compared with July. Economists had expected the index to grow by 0.3%. Good support for the index had prices for gasoline.
The base index, which does not take into account prices for volatile categories, including energy, rose by 0.1% in August compared with July.
As for the technical picture of the EURUSD pair, judging by the schedule, the scenario began to develop in favor of the further strengthening of the US dollar. The breakthrough of interim support level of 1.1950, which is also a kind of middle of the channel, led to an instant drop in the euro's quotes, which opens new weekly lows for the "bears" in the area of 1.1915 and 1.1870.
Despite the good data, the British pound fell from the weekly highs after the publication of the report on the labor market. According to the data, from May to July this year, the unemployment rate declined in the UK and amounted to 4.3%. The average wage growth, taking into account inflation, remained at the level of 2.1%.