The Euro has held its ground today against the US dollar after Eurozone CPI numbers hit the market above expectations.
At 7.26pm (GMT) the Euro was trading at $US1.1270 down 0.04 percent from yesterday’s trade.
The latest consumer price index figures came in at 1.2 percent on a monthly basis which matched analysts’ expectations.
The yearly figure rose to 0.0 percent from -0.1 percent and may take some pressure of the ECB in regards to further monetary easing.
Although a small increase, it may help inflation move towards the ECB’s inflation rate of around 2 percent and especially when the rise in oil prices starts to find its way into the economy.
This in turn may justify the ECB,s stimulus program that was increased in the past 6 months.
"When we get the base effect from oil prices in the second half of the year the whole debate around the ECB may change," Anatoli Annenkov, an economist at Societe Generale, said.
"It will become easier for the ECB... to argue its actions are having some effect." He added.
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