Following the German growth downgrade by the German Kiel Institute for the World Economy (IfW) and DIW economic institute on Wednesday, the IFO lowered its 2019 GDP growth forecast for the German economy.
Sees German economy in recession in Q3 with 0.1% contraction.
Cut 2020 GDP forecast to 1.2% from 1.7%.
Sees 2021 GDP at 1.4%.
German industry's weakness spreading to other sectors.
The forecast assumes there is no disorderly Brexit, no escalation of trade war.
The bid tone around the EUR/USD pair continues to strengthen ahead of the ECB policy decision, with the Euro unfazed by the latest German IFO growth downgrade.
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.