The latest economic confidence data out of the eurozone shows a drop from December to January. Even though this news is bolstering the case for stimulus, the euro is higher against the dollar.
Euro is gaining ground against the US dollar today, in spite of the latest data that indicates that there is less confidence in the economy of the 19-nation currency region. Eurozone confidence dropped to 105 in January from 106.7 in December.
This news is being considered as an argument for further stimulus from the European Central Bank. ECB President Mario Draghi has been hinting at the possibility of more quantitative easing measures for a few months now, but nothing concrete has materialized.
Rather than dropping against the dollar on this news, however, the euro is heading higher. The 19-nation currency is heading lower against the pound, though. News showing that the UK economic growth is stable was released, and that is giving the sterling an edge against the euro. Euro is also higher against the Japanese yen today.
At 15:09 GMT EUR/USD is heading higher, gaining to 1.0917 from the 1.0892. EUR/GBP is lower, though, dropping down to 0.7612 from the open at 0.7646. EUR/JPY is higher as well, gaining ground to 129.8450 from the open at 129.2240.
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