Single Currency Slightly Lower, Tightening From ECB
The euro/dollar pair has reduced 0.01% to trade at 1.1947. Eurozone Industrial Production rose 1.0%. From the US, we are about to get Purchasing Price Index, Core Purchasing Price Index and unemployment claims. Tomorrow, the US will announce Consumer Price Index and retail sales.
Investors are waiting for release of the protocol for ECB meeting. Should we expect some policy tightening from the Bank? The last time it raised the rate was almost seven years ago. The rate hike becomes more likely, considering the fact that starting from the next month, ECB will lower its asset purchase program. The Eurozone unemployment hit 8-year minimum of 8.7 in November. Retail Sales grew 1.5% last month. German Industrial Production increased 3.4%. Trade surplus expanded to the yearly maximum of 22.3B euros. As we may judge, the economy in the bloc remains firm.