Euro Area unemployment unchanged at 10% August 2011

According to the recent Eurostat report, the Euro Area seasonally adjusted unemployment rate remained unchanged at 10% during July 2011 – the same rate as in June 2011, but slightly lower than the seasonally adjusted unemployment rate in July 2011, which was 10.2%.

The Eurostat estimated that nearly 22.711 million people in the EU27 were unemployed in July; out of whom 15.757 million people were unemployed in the Euro Area alone.

The lowest unemployment rate among the Euro members was recorded in Austria (3.7%), Netherlands (4.3%), and Luxembourg (4.6%), while the highest rates were registered in Spain (21.2%) and Latvia (16.2%).

This news doesn’t stir up the financial markets as there were no big surprises or major changes, and yet the Euro/USD rate is currently traded down.

Euro Area Inflation

According to the flash report that was published today, the Euro Area inflation rate is estimated at 2.5% in August (annual terms). The rate was also 2.5% in July 2011.

The chart below shows the development of the Euro Area inflation rate and ECB basic interest rate in 2010-2011. The Euro Area inflation rate is still higher than the ECB target rate of 2%, but Trichet isn’t likely to raise ECB interest rates in the next ECB meeting especially as there are still debt problems on the one hand, and an economic slowdown in Euro Area on the other.

CPI EURO AREA 2008-2011 (Y-2-Y) & Basic Interest Rate of ECB AUGUST 31

Euros to USD is currently traded down at 1.4397 a 0.3057% decrease as of 18:45*.

USD to Canadian dollar exchange rate is traded down at 0.9775 a 0.046% decrease as of 18:44*.

Current Nymex crude oil price, short term futures (September 2011 delivery) is traded up by 0.40%, at $89.26 per barrel as of 18:22*.

Current gold price, short term futures (September 2011 delivery) is traded at $1,828.60 per t oz. a $1.2 decrease or 0.07%, as of 18:45*.

(* GMT)

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