27 Jul 2015
German Ifo underpins strong euro - DB
FXStreet (Barcelona) - In respect of euro strength today, analysts at Deutsche Bank note that the Ifo beats market expectations after declining for two consecutive months.
Key Quotes:
"The July ifo index rose (108.0 vs. 107.5 prev.) contrary to market expectations of a small further decline (Reuters: 107.2). The improvement was driven mostly by the assessment of the current situation (113.9 vs. 113.1), which remains high."
"Expectations rose only modestly (102.4 vs. 102.1 prev.), but encouragingly this at least has stopped the string of three consecutive declines seen before. The level of ifo expectations is consistent with 0.4% qoq GDP growth in Q3 just like the July composite PMI released last week."
Key Quotes:
"The July ifo index rose (108.0 vs. 107.5 prev.) contrary to market expectations of a small further decline (Reuters: 107.2). The improvement was driven mostly by the assessment of the current situation (113.9 vs. 113.1), which remains high."
"Expectations rose only modestly (102.4 vs. 102.1 prev.), but encouragingly this at least has stopped the string of three consecutive declines seen before. The level of ifo expectations is consistent with 0.4% qoq GDP growth in Q3 just like the July composite PMI released last week."