German Preliminary GDP expands 8.2% in Q3 vs. +7.3% expected, EUR/USD uninspired
- German GDP arrives at +8.2% QoQ in Q3 vs. +7.3% expected.
- Annualized German GDP stands at -4.3% in Q3 vs. -11.3% expected.
- EUR/USD unmoved on upbeat German Q3 growth numbers.
The German economy grew 8.2% inter-quarter in the third quarter of 2020 when compared to the expectations of +7.3% and -9.7% seen in Q2, the preliminary report published by Destatis showed on Friday.
Meanwhile, the yearly rate fell by 4.3% in Q3 against the previous reading of -11.3% and missed market expectations of -5.3% contraction.
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).
EUR/USD unfazed on data
The shared currency failed to show any reaction to the above-forecast German Q3 growth numbers, as EUR/USD traded modestly flat around 1.1670.
The spot hit a fresh daily low of 1.1661 ahead of the German data. Markets await the key Eurozone macro news, with the bloc’s Q3 GDP set to rebound while the inflation is expected to remain in the negative.
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.
