Germany’s industrial output data for August surprised, rising 0.3% on the month. The data soothed concerns about a possible recession in the eurozone’s largest economy.
The increase also beat the estimates of a 0.2% increase from economists. Industrial production grew by 0.7%, while energy production fell 1.7%. Construction output was down 1.5% during the month.
Can the EURUSD Rebound?
The common currency slipped largely due to the strength in the US dollar. Price action indicates that the pair is testing the support area of 1.0944.
A firm test of this support level could confirm the upside bias. The resistance area of 1.1091 remains the key target moving forward. However, if the support fails, the currency pair could see extending declines back to last week’s lows.
