German Economy Ministry: Economic outlook for H2 dramatically worsened

Dhwani Mehta FXStreet

The latest report published by the German Economy Ministry on Tuesday underscored concerns over the country’s economic outlook in the second half of this year.

Key takeaways

Early indicators and polls point to a rising number of insolvencies in H2 but no "insolvency wave" in sight.

German economic outlook for H2 dramatically worsened, output in H2 could stagnate or contract.

German labor market is defying global uncertainties for time being, indicators have stabilized and demand for labor remains high.

Market reaction

The shared currency is undeterred by Germany’s dire economic outlook, as EUR/USD flirts with highs near 1.0150, up 0.31% on the day.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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