When is the German Prelim CPI and how could it affect EUR/USD?

The German Prelim CPI Overview

The German inflation data is up for release later this session at 1300 GMT, with the CPI figures expected to come in at 0.1% m/m and 2.4% y/y in October.

Disappointing Germany's regional CPIs released earlier today paint a gloomy picture of the harmonized German CPI readings due to be reported later today. In Hesse, MoM inflation for the month of October arrived at +0.1%, versus +0.5% prev. Meanwhile, in Bavaria, the October inflation came in at +0.2% MoM versus +0.5% last. In Saxony, Oct inflation MoM dropped to +0.2% versus +0.4% previous, while Brandenburg’s came in at +0.1% MoM vs. 0.3% prior. Baden Wuerttemberg October CPI stood at +0.1% vs. +0.6% m/m prior while North Rhine Westphalia October CPI eased to +0.1% vs. +0.4% m/m last.

How could it affect EUR/USD?

FXStreet’s Analyst Yohay Elam offer key technical levels for trading EUR/USD on the CPI release: “Further down, 1.1335 was the swing low last week and is a significant support line. 1.1300 is not only a round number but also the 2018 low. Further down, 1.1220 and 1.1100 are notable. 1.1415 was the high point in recent days, and it is very close to the double bottom of 1.1430 that was visited twice in October. 1.1495 capped a recovery attempt in mid-October and 1.1550 was a swing high around the same time. All in all, recovery attempts are being thwarted and follow the "dead cat bounce" pattern. The trend remains to the downside.”

Key Notes

Germany: HICP inflation to increase to 2.4% in October - Nomura

EUR/USD still looks to a visit of 1.1315/01 – Commerzbank

Eurozone prelim flash GDP eases to 0.2% q/q in Q3, misses estimates

About the German Prelim CPI

The Germany consumer price index released by the Statistisches Bundesamt Deutschland measures the average price change for all goods and services purchased by households for consumption purposes. CPI is the main indicator to measure inflation and changes in purchasing trends. A high reading is positive (or Bullish) for the EUR, while a low reading is negative (or bearish).