German Investor Confidence Rose as Policymakers Step Up Efforts

Daily Forex Fundamentals | Written by DailyFX | Nov 11 08 10:31 GMT |

The German November ZEW rose to -53.5, better than our median of -63 and up from -63 in October. The massive rate cuts over the past month and the announcement of stimulus programmes are likely to have helped to stabilize confidence, but readings remain at very low levels with pessimists clearly outnumbering optimists. This is consistent with expectations for ongoing weak growth going into next year and should keep the ECB on course for further monetary easing in December. Meanwhile, Euro-Dollar (EURUSD) was under pressure in to the release after a good Eastern European buy order was already filled and led to a pullback from 1.2799 session highs to 1.2745. EUR-USD popped up to 1.2770-75 immediately after the ZEW release, but a combination of weak Euro-Zone economic fundamentals and negative European equity markets encouraged euro selling on strength. A move back in to the 1.2700 may be seen as the session progresses, although ongoing speculation of a USD 5 bln sell order on behalf of an Eastern European name is tempering EUR-USD's downside. DailyFX Disclaimer Investment in the currency exchange is highly speculative and should only be done with risk capital. Prices rise and fall and past performance is no assurance of future performance. This website is an information site only. Accordingly we make no warranties or guarantees in respect of the content. The publications herein do not take into account the investment objectives, financial situation or particular needs of any particular person. Investors should obtain individual financial advice based on their own particular circumstances before making an investment decision on the basis of the recommendations in this website. While we try to ensure that all of the information provided on this website is kept up-to-date and accurate we accept no responsibility for any use made of the information provided. All intellectual property rights are the property of Daily FX. Daily FX and its affiliates, will not be held responsible for the reliability or accuracy of the information available on this site. The content herein is provided in good faith and believed to be accurate, however, there are no explicit or implicit warranties of accuracy or timeliness made by Daily FX or its affiliates. The reader agrees not to hold Daily FX or any of its affiliates liable for decisions that are based on information from this website. Daily FX highly recommends that before making a decision, the reader collects several opinions related to the decision and verifies facts from at least several independent sources.