Foreign Exchange Market Update

December 12, 2025

Eurozone

Euro traded at 1.1733 against USD at 9:00 AM PST

Spain's consumer price inflation slowed slightly in November. The CPI registered an annual increase of 3.0%, but marginally slower than the 3.1% rise posted in October.

The annual price growth in housing eased to 1.8% from 5.7% due to the fall in electricity prices, while inflation based on food and non-alcoholic beverages accelerated to 2.8% from 2.4%. Transportation charges were 2.5% more expensive. At the same time, EU-harmonized inflation held steady at 3.2%.

Core inflation rose slightly to 2.6% from 2.5% in the previous month. Month-on-month, the CPI increased by 0.2% following a 0.7% rise in the prior month. The HICP remained flat after rising 0.5% in October. 12/12/2025 - 08:02:00 (RTTNews)

Germany's consumer price inflation remained unchanged in November, but EU harmonized inflation accelerated. The CPI rose 2.3% year-on-year, the same as in October.

The increase in service prices continues to drive up inflation. The development of energy and food prices had a downward effect on inflation in November. The core inflation, which excludes prices of food and energy, slowed to a three-month low of 2.7% from 2.8%.

The HICP, which is used for EU comparison purposes, rose 2.6% year-on-year following a 2.3% increase in October. Food price inflation edged down to 1.2% in November, and it continued to increase at a below-average rate. At the same time, services inflation held steady at 3.5%. The CPI decreased 0.2% from October, when prices rose 0.3%. Likewise, the HICP was 0.5% lower than in October, when it rose 0.3%. 12/12/2025 - 05:53:00 (RTTNews)

France's consumer price inflation held steady in November. Consumer price inflation came in at 0.9% in November, the same as in October.

Inflation based on services eased to 2.2% in November from 2.4%. This was offset by a 0.6% decrease in costs for manufactured products versus a 0.5% fall in October. Meanwhile, the decline in energy prices slowed to 4.6% from 5.6%, and food price inflation rose marginally to 1.4% from 1.3%. Month-on-month, the CPI edged down 0.2%, reversing October's 0.1% increase.

Core inflation softened to 1.0% from 1.2% in October. EU harmonized inflation came in at 0.8%. Monthly, the harmonized index of consumer prices decreased 0.2% after a 0.1% rise in October. 12/12/2025 - 05:51:00 (RTTNews)

United Kingdom (U.K.) Economy Shrinks in October

British Pounds traded at 1.3349 against USD at 9:00 AM PST

The U.K. economy experienced a contraction in October, as uncertainty ahead of the Autumn budget dampened spending and investment. GDP fell 0.1% month-on-month in October, the same pace of drop as seen in September. The monthly fall was driven by a 0.3% contraction in the services sector and a 0.6% drop in construction. In contrast, industrial production grew 1.1%.

Annually, GDP was up 1.1% in October. In the three months to October, real GDP was down 0.1%, following a 0.1% expansion in the three months to September. 12/12/2025 - 07:21:00 (RTTNews)

Japan Industrial Output Rises

Japan's industrial production expanded in October. Industrial production climbed 1.5% monthly in October, slower than the 2.6% recovery in September. Shipments grew 1.7% over the month, and inventories logged an increase of 0.4%. Annually, industrial production climbed 1.6% versus a 3.8% growth in the prior month. Further, capacity utilization rose 3.3%, following a 2.5% increase a month ago. 12/12/2025 - 01:24:00 (RTTNews)