Home » Currency Note » Currency Note » Currency Note EUR » EUR: German inflation rate drops to an eight-month low

The headline release from the eurozone yesterday was the German inflation rate for December 2018. The figures showed inflation dropped to 1.7% from 2.3% the previous month, which was in line with expectations. It is the lowest rate of inflation for eight months and was largely brought about by energy and food prices rising at a softer pace. Services inflation remained steady.

Euro movements against sterling and the dollar were fairly muted, with the potential sterling collapse not occurring. It is worth bearing in mind that a no-deal Brexit is bad for the eurozone as well as the UK, so if the UK were to leave without a deal, it is likely that the movements against the dollar would be more pronounced. Investors appear to be waiting to see what happens next before making their moves.

Today is reasonably busy for the eurozone, with inflation for December and November’s construction output. The latter came in at 1.8% last time around and it will be hoped that the sector can post impressive figures, especially in light of the recent disappointments from France, Germany and Italy.

Find out how we can help you

Let us know a little more about your upcoming currency exchange needs. We aim to take the uncertainty away by providing guidance on which services suit your individual requirements. You can then rest, assured your money is not at the mercy of the currency markets.

Protect against risk

Avoid losing money and protect against currencies moving against you.

Dedicated trader

Dedicated currency trader working with you to get the best value for your money.

Secure and efficient transfers

Secure, quick and efficient transfers. Authorised by the FCA.

  • We handle your data with care and only ever as outlined in our Privacy Policy.

Keep up to date

Get regular, jargon-free currency market updates delivered directly to your inbox.

  • We handle your data with care and only ever as outlined in our Privacy Policy.

Refer a friend or business

Recommend our services to your friends, family or colleagues and earn great rewards.