Stronger industrial production from the euro zone late last year helped drive up the value of the shared currency of the European Union on Wednesday, Bloomberg reports.
Marking the third-straight trading session of gains against the U.S. dollar, the euro benefited from industrial output in December that was stronger than production during the month prior. A strong bond auction in Italy, which saw the sale of the euro value equivalent to almost $9 billion also was beneficial to the currency as Italy is a nation under scrutiny during the sovereign debt crisis’ aggressive tendencies.
“Market appetite for the euro has improved,” European hedge fund sales head Neil Jones with Mizuho Corporate Bank Ltd. in London told Bloomberg on Wednesday. “The situation in the euro zone has gradually improved along with the outlook for the global economy. We expect the euro’s upward momentum to continue.”
The euro also advanced against the yen, which is under scrutiny as the Group of Seven convenes and the Group of 20 prepares to meet this weekend.
November industrial production data from the euro zone was lower than anticipated, which underscores the importance of the same data from the following month, according to The Wall Street Journal.
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