Germany January IFO data now out 25 Jan

  • 117.2 prev
  • expectations 108.4 vs 109.3 exp vs 109.5 prev
  • current assessment 127.7 vs 125.4 prev

Stronger headline but softer expectations sees EURUSD at 1.2400 after recent dip into 1.2380-85 where bids lurk.

Say IFO:

  • despite lack of new govt the German economy is in excellent shape
  • industry getting close to full capacity
  • do not see any over heating of economy yet as prices not being pushed up and wage growth moderate

A theme I'm sure we'll be hearing more about from Draghi & Co later today.