• Prior -3.6
  • Current conditions 3.3 vs 1.8 exp. Prior 3.2

A decent bounce from the ZEW and EUR/USD bolts up to 1.2534 but was well on the way through 1.2500 before the numbers hit. I wonder why?


ZEW’s Fuest says;

  • German economy is stabilising
  • Economic environment remains fragile
  • Ongoing geopolitical tensions affect Germany

Everyone loves the euro today. EUR/JPY touches 146.70, EUR/GBP through 0.8000, EUR/USD touches a high of 1.2540 before falling back to 1.2521

German ZEW index 18 11 2014

German ZEW index 18 11 2014

More from Fuest;

  • Economy is cooling but there is not a major downturn
  • Stabilisation mostly driven by Q3 GDP numbers
  • Seems to be some stabilisation in German economy, very hard to predict growth in coming months