German unemployment rate falls to a two decade low
German unemployment falls by 18,000, beats expectations -> Better job numbers seen as sign of Europe’s economic growth -> No major movements in the EUR/USD following the positive data
German unemployment fell by 18,000 during the month of March, the Federal Labor Agency said today in a release. The drop in unemployment numbers beat analysts’ estimates by 8,000. Germany has 2.84 million unemployed people.
The unemployment rate fell from 6.8% to 6.7% over the same period, reaching a two decade low. Following the positive jobless rate, there was very little movement in EUR/USD, with the pair not straying far from its level before the report.
The numbers signal a resilient European economy since last year’s financial scare. Although Europe’s economy is expected to contact by 0.3% in 2012, Germany’s economy could expand by 0.6%, according to the European Commission forecast.
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