EUR traded mixed against other major currencies in the European session on Thursday as investors assessed the Eurozone’s retail sales report for October.
The euro held steady versus GBP, AUD, CAD and CHF, rose versus USD and SEK, and fell versus JPY.
Eurostat reported that retail sales in the euro area fell 0.5% MoM in October, following a 0.5% MoM rise in September. This marked the steepest monthly decline since August 2023, led by a 1.4% MoM plunge in Germany’s retail sales, and was worse than economists’ forecast of a 0.3% MoM drop. On a YoY basis, retail sales jumped 1.9% after an upwardly revised 3.0% climb in September, exceeding economists’ prediction of a 1.7% gain.
In addition, investors had to contend with the collapse of the government in France - the region’s second-largest economy - as the prime minister (PM) Michel Barnier was ousted in the no-confidence vote yesterday. French president Emmanuel Macron now must find a new PM who can pass a 2025 budget through the divided parliament.