Euro Shows Small Gain After Eurozone Inflation Data

Forex News

Euro remains stable versus US dollar. The euro/dollar pair gained 0.08% to trade at 1.1661 level. US-China trade war continues to influence the markets. Further escalation of trade dispute could support the US dollar, making euro vulnerable.

Eurozone inflation rate slowed in August from more than five-year high. The data of Eurostat showed, that CPI fell to 2% in August from 2.1% in July. It was expected that the annual rate will remain at the level of 2.1%, which was the highest since December 2012. Core inflation, which excludes energy, food, alcohol and tobacco, slowed slightly to 1% from 1.1% a month ago.

Meanwhile, it was also reported, that the unemployment rate in the Eurozone remained unchanged in July at the lowest since the end of 2008. The unemployment rate was 8.2%, the same as in June, and met expectations. This was the lowest indicator recorded in the euro area since November 2008. The number of unemployed fell by 73.000 from June to 13.381 million people.