Headlines trading can be deceptive.
In the article, the details reveal:
1) The Unemployment increase was less than expected.
The smaller-than-expected unemployment rate probably resulted from various state programs to preserve jobs through such means as subsidizing part-time shifts or training programs.
2) Inflation in the euro area had moved much further into negative territory.
There's no immediate inflation fear.
3) The lower-than-expected unemployment, combined with a significant fall in prices, could mean more purchasing power for consumers. âFalling prices will provide a welcome boost to real incomesâ.
Hence the Euro Rally. This is good news for the Euro.
