FXstreet.com (Sydney) - The EUR lost ground to the Aussie dropping 40 pips and is now trading 1.6130. The pair had earlier opened at 1.6129 dropping to an intraday low of 1.6090 before rallying to recover losses. The outlook is slightly bearish for the pair.

The pair will again be tested by economic news due out this week. In Australia the unemployment rate is tipped to rise by 0.1% in October to 5.8% after job ads ceded gains in September. Meanwhile in Germany, Europe's largest economy announced yesterday that exports grew by 3.8% in the month of September which was higher than the expected 2.5% increase.