BREAKING: EUR ticks higher after Spanish data

Two key pieces of data from the Spanish economy were released this morning at 8:00 am BST - GDP report for Q2 2023 and CPI inflation report for July. While GDP data came in-line with estimates and showed a 0.4% QoQ expansion, CPI data turned out to be a surprise. While Spanish headline CPI was expected to slow from 1.9% to 1.6% YoY, it has accelerated to 2.3% YoY instead. 

EUR gained on the news with EURUSD moving around 0.1-0.2% in a knee-jerk move. European equities ticked lower but market reaction in this case could be distorted by opening of the European cash session.

Data from Spain

• Q2 GDP report: 0.4% QoQ vs 0.4% QoQ expected (0.6% QoQ previously)
• CPI inflation for July: 2.3% YoY vs 1.6% YoY expected (1.9% YoY previously)

EURUSD moved higher following beat in Spanish CPI data but scale of the move was minimal. Source: xStation5