Bundesbank says that it sees no fundamental change in the German economy for Q1
But warns that the coronavirus outbreak impact is likely to hit German exporters in its monthly report
- German exporters likely to suffer from coronavirus outbreak in China
- The virus impact threatens to disrupt global supply chains
- It poses a 'cyclical downside risk' for Germany
- A temporary decline in overall Chinese demand could damp German export activity
It is a bit of an interesting assessment as they continue to negate and brush aside the potential implications that the virus outbreak could have for now.
I wouldn't be so sure to underplay those risks but then again, the role of central banks these days have shifted towards pacifying the market more than anything else.