- German ZEW economic sentiment index falls to 19.2 in August.
- EUR/USD eases towards 1.0900 following German and Eurozone ZEW surveys.
The German ZEW index of economic sentiment fell sharply from 41.8 in July to 19.2 in August, missing the market consensus of 38.0.
However, the Current Situation Index worsened from -68.9 in July to -77.3 in the eighth month of the year.
He ZEW Economic Sentiment Index Eurozone GDP growth stood at 17.9 in August, well below July’s reading of 43.7. The data missed the market expectation of 35.4.
Key points
The economic outlook for Germany is crumbling.
In the current survey, we see the biggest drop in economic expectations in the past two years.
Economic expectations for the Eurozone, the US and China are also deteriorating significantly.
As a result, expectations for export-intensive sectors in Germany are particularly weakening.
Economic expectations are likely to continue to be affected by high uncertainty.
Recently, this uncertainty has expressed itself in turbulence on international stock markets.
Market reaction
He EUR/USD feels the pull of gravity on the back of disappointing German and Eurozone ZEW surveys. The pair is losing 0.14% on the day to trade near 1.0915, at the time of writing.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
