Euro Mixed Versus Major Rivals As Traders Mull Economic Reports

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The euro saw mixed trading against its major rivals as traders considered data showing the Eurozone unemployment rate rose to its highest level since August 1998, while third quarter GDP growth for the region was confirmed.

The jobless rate in the euro area rose to 10% in November from 9.9% in October, the Eurostat reported Friday. For the euro area, this was the highest rate since August 1998. Economists had expected the rate to remain at 9.9%.

The Eurostat confirmed a 0.4% sequential growth in the Eurozone economy in the third quarter. It follows contractions of 0.1% and 2.5% in the second and first quarters.

The euro moved higher amid volatile trading with the dollar after a disappointing jobs report from the U.S. The European currency rose near 1.4400, moving near the high end of a recent trading range.

The U.S. Labor Department revealed that non-farm payrolls declined by 85,000 in December, compared to a revised gain of 4,000 in November.

The euro edged higher against the British pound and approached the 0.9000 mark again. The European currency had earlier slipped to a four-day low of 0.8919.

Factory gate inflation in the U.K. rose rose to 3.5% in December from 2.9% in November, data from Office for National Statistics showed Friday. The annual growth rate recorded in December was the biggest since January 2009 and was also larger than the consensus forecast of 3.1%.

The euro edged slightly lower against the yen but remained near a monthly high reached earlier in the week. The European currency moved near 133.20 after earlier hitting as high as 134.12.

In economic news, German industrial production grew by a seasonally adjusted 0.7% month-on-month in November, reversing a revised fall of 1.7% in the previous month, a report from Federal Ministry of Economics and Technology showed Friday. However, the monthly growth rate stood below the consensus forecast of 1%.

Italy's seasonally adjusted jobless rate rose to 8.3% in November from 8.2% in October, a report by Istat showed on Friday. This was the highest level since March 2004. The Jobless rate figure for October was revised from 8% reported initially.

(Market News Provided by RTTNews)