Q1 GDP and April Inflation Figures Provide Early EUR Support

h2 idinflationarypressurespickupinaprilduetosupplychainwoesInflationary Pressures Pick Up in April Due to Supply Chain Woesh2

pAccording to prelim figures for April, French consumer prices increased by 0.4 following a 1.4 jump in March.p

pFor the Eurozone, the annual rate of inflation ticked up from 7.4 to 7.5. Economists forecast a rate of 7.5.p

pAccording to a hrefhttps:ec.europa.eueurostatdocuments299552114497757229042022APEN.pdf664dc8bd446046f669ea04c1763abd28？t1651154566195 relnofollow noopener noreferrer target_blankEurostata,p

ul

liEnergy is expected to have the highest annual rate in April 38.0 compared with 44.4 in March, followed by food, alcohol, & tobacco 6.4 compared with 5.0 in March.li

liPrices for nonenergy industrial goods are to rise 3.8 compared with 3.4 in March, with services by 3.3 compared with 2.7 in March.li

ul

divdivdiv classBodysc17zpet90 cdBBJodivh2 idfirstquartergdpnumbersdelivermixedresultsFirst Quarter GDP Numbers Deliver Mixed Resultsh2

pIn the first quarter, the French economy stalled, falling short of a forecasted 0.3 growth. Yearonyear, the economy expanded by 5.3, marginally softer than 5.5 in the previous quarter.p

pGDP numbers from Germany impressed, with the economy growing by 4.0 yearonyear, up from 1.8 in Q4. Quarteronquarter, the economy expanded by 0.2, recovering from a 0.3 contraction in the previous quarter.p

pFor the euro area, the economy grew by 0.2, quarteronquarter. Economists had forecast the economy to grow by 0.3 in the quarter. Yearonyear, the economy expanded by 5.0, which was in line with forecasts.p

pAccording to a hrefhttps:ec.europa.eueurostatdocuments299552114497760229042022BPEN.pdfb2bac77ef630a6cd41905e891a85331b？t1651219730500 relnofollow noopener noreferrer target_blankEurostata,p

ul

liPortugal 2.6 recorded the highest increase compared with the previous quarter, followed by Austria 2.5 and Latvia 2.1.li

liItaly recorded the only decline, with a 0.2 contraction.li

ul

h2 idmarketimpactMarket Impacth2

pAhead of todays stats, the EUR fell to a prestat and currentday low of 1.04912 before finding support.p

pIn response to todays stats, the EUR rose to a currentday high of 1.05931 before easing back.p

pAt the time of writing, the a hrefhttps:www.fxempire.comcurrencieseurusdEURa was up by 0.68 to 1.05704.