German Finance Ministry: Economy on track for stronger growth in Q3
|German Finance Ministry said in a monthly report on Friday, per Reuters, that the economy is on track for a lasting, probably stronger recovery in the third quarter driven by lively domestic demand after gross domestic product expanded by 1.5% on the quarter from April to June.
Key quotes
Sentiment surveys and forward-looking indicators such as truck toll mileage pointed to ‘unbroken optimism’ among businesses and high activity in the economy over the summer months.
The re-opening of the economy and falling COVID-19 cases in early summer have pushed up household spending which translated into booming retail sales in May and June.
The economic recovery has also lifted tax revenues, though accumulated tax revenues from January to July are still 1.7% lower compared to the same period in the pre-pandemic year of 2019.
FX reaction
Given early Asia’s inactive markets, EUR/USD paid a little heed to the upbeat news and remains pressured near a yearly low of 1.1665 by the press time.
Read: EUR/USD consolidates daily losses, looks to close below 1,1700
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.