German IFO’s Economist: Supply chain problems are causing trouble for companies

Dhwani Mehta FXStreet

Following the release of the German IFO Business Survey, the institute’s Economist Klaus Wohlrabe said that “supply chain problems are causing trouble for companies, production capacities are falling.”

Additional quotes

Supply chain problems are causing trouble for companies, production capacities are falling.

In the manufacturing sector, business sentiment has fallen, same with services and trade.

German economy is facing an uncomfortable autumn.

Problems in industry are still virulent, procurement issues are leading to sinking capacity.

In auto sector capacity utilization has fallen to 78.2 from 85.2.

Supply chain problems are impacting stores.

Bottlenecks in industry have not tightened further in October.

German GDP to grow by around 0.5% in Q4.

Rise in coronavirus cases has not impacted tourism, hospitality industry in October yet.

Every second German industrial company wants to raise prices.

EUR/USD remains capped below 1.1670

EUR/USD is keeping its range trade intact below 1.1670 amid a better market mood and mixed German data. The spot was last seen trading at 1.1657, adding 0.08% 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.

EUR/USD retreats below 1.1800 following earlier rebound

EUR/USD loses its recovery momentum and trades little-changed on the day below 1.1300 in the second half of the day on Wednesday. The modest improvement seen in risk mood limits the US Dollar's gains and allows the pair to hold its ground.

GBP/USD clings to small gains above 1.3500

GBP/USD is posting moderate gains above 1.3500 on Wednesday. The pair edges higher as the US Dollar meets fresh supply amid a modest improvement seen in risk sentiment following US President Donald Trump’s first State of the Union address.

Gold rises toward $5,200, supported by geopolitics and trade jitters

Gold buyers are back in the game, eyeing $5,200 and beyonf on Wednesday after seeing a correction from monthly highs on Tuesday. The US Dollar slips after Trump’s SOTU fails to impress and as AI-driven worries ease. Dovish Fed bets also weigh. Gold looks north so long as the key 61.8% Fibo resistance at $5,142 holds on the daily chart.

Bitcoin, Ethereum and Ripple post cautious recovery amid downside risks

Bitcoin, Ethereum, and Ripple are posting a cautious recovery on Wednesday following a market correction earlier this week. BTC is approaching a key breakdown level, while ETH and XRP are rebounding from crucial support levels.

Nvidia remains at the heart of the AI boom

Nvidia remains at the heart of the AI boom, with Q4 revenue projected near $65.6–66.1 billion, nearly 70% higher year-over-year. But investors are watching cash flow, leverage, and broader AI adoption. Growth is strong, but the AI stress isn’t over.

Cosmos Hub Price Forecast: ATOM rebounds slightly, bearish outlook remains intact

Cosmos Hub (ATOM) price rebounds, trading above $2.05 at the time of writing on Wednesday, after undergoing a sharp correction since last week. Weakening on-chain and derivatives data support a bearish outlook, while technical analysis remains unfavorable.