EUR/USD: spreads are not correlating - Scotiabank

Analysts at Scotiabank explained the key data for the eurozone.

Key Quotes:

"Final Eurozone CPI was unchanged from the preliminary report of a 0.4% gain in the Sep month (+1.5% in the year).

Germany reported a slightly weaker ZEW survey for Oct (87.0 versus 88.5 expected and 87.9 in the prior release) but the survey remains at elevated levels from an historic perspective and suggests the German economy retains solid upward momentum heading into the tail end of the year.

Spreads are not correlating especially strongly with spot at present but the EUR is still liable to feel some “heat” from wider rate spreads."