German Prelim GDP contracts 0.1% in Q2, matches expectations (EUR keeps lows)

Dhwani Mehta FXStreet

The German economy contracted by 0.1% q/q in the second quarter of 2019 and matched expectations of -0.1%, the preliminary report by Destatis showed this Wednesday.

Meanwhile, the yearly rate showed no growth in Q2 as compared to the previous reading of 0.6%, but bettered market expectations of 0.3% contraction.

The shared currency remains on the back foot on in-line with expectations the German Q2 GDP release, keeping EUR/USD in lows near 1.1165 region.

About German Prelim GDP

The Gross Domestic Product released by the Statistisches Bundesamt Deutschland is a measure of the total value of all goods and services produced by Germany. The GDP is considered as a broad measure of the German economic activity and health. A high reading or a better than expected number has a positive effect on the EUR, while a falling trend is seen as negative (or bearish).

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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