Unemployment in Germany fell by 0.1%, better than expected, giving a reading of 7.1% beating the forecasted 7.2%, and better than February’s 7.3% rate. The change in the number of unemployed people in March was down by 55,000, much better than the expected 23,000 change.
The Unemployment Rate is released by the German Statistics office on a monthly basis. Any decrease in the indicator is seen as bullish. A decrease in unemployment has positive implications for consumer spending which in turn will stimulate the economy. Unemployment is a lagging indicator so we cannot see an immediate effect on the European currency. However, the Euro is trading up today against the US Dollar. It is currently trading at 1.4185 in early trading, up almost 40 pips since the open.