Euro Under Pressure After Release of Eurozone Data

The euro fell today even after German economic growth exceeded analysts’ estimate. The problem was the Germany’s deflation was above expectations as well, and on top of that eurozone’s economic growth received a downward revision.
Germany’s gross domestic product rose 0.7% in the first quarter of 2016, a tad faster than the consensus forecast (0.6%). But Germany’s Consumer Price Index fell 0.4% in April from March whereas experts had predicted a drop by just 0.2%. Meanwhile, the flash estimate of eurozone seasonally adjusted GDP showed growth by 0.5% in the first three months of this year while the preliminary reading had demonstrated a bigger increase by 0.6%.
EUR/USD dropped from 1.1376 to 1.1346 as of 10:22 GMT today. EUR/JPY fell from 123.99 to 123.48.

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