German ZEW economic sentiment dives to -24.5 in July, a big miss (EUR unfazed)
The German ZEW headline numbers for July showed that the economic sentiment index came in at -24.5 versus -22.3 expectations and -21.1 last. While the sub-index current conditions figure unexpectedly dropped to -1.1 in July versus 5.0 expected and 7.8 booked previously.
ZEW President Professor Achim Wambach noted: “In particular the continued negative trend in incoming orders in the German industry is likely to have reinforced the financial market experts’ pessimistic sentiment. A lasting containment of the factors that are causing uncertainty in the export-oriented sectors of the German economy is currently not in sight. The Iran conflict seems to be intensifying and the ongoing trade dispute between the USA and China is a burden not only to Chinese economic development. Furthermore, no discernible progress has been made in the negotiations as to what Brexit will look like.”
Meanwhile, the Eurozone ZEW economic sentiment for July arrived at -20.3 vs. -20.9 expected and -20.2 last.
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.
