Eurozone’s economy expanded at its slowest pace in 4 years according to yesterday’s preliminary data for Q3, raising even more concerns over the bloc’s performance. Another interesting point was the stagnation in Italy’s growth, which comes in the midst of the ongoing row between the nation and the EU over its budget. Overnight, the BoJ stood pat but lowered its inflation projections.
Eurozone’s Growth Rate Hits a 4-year Low
The dollar continued trading higher against most of the other G10 currencies on Tuesday. The main losers were GBP, JPY and NOK, while the currencies that managed to resist the greenback’s strength, ending the day virtually unchanged against it, were AUD and NZD.
The pound slid the most against the dollar after the S&P ratings agency said that a no-deal Brexit would result in a moderate recession in the UK. With uncertainty surrounding the UK’s departure from the EU still elevated, we maintain our bearish view on the pound. Theresa May appears to be stuck between...
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