The euro is still weak against the dollar and pound this morning following disappointing data releases yesterday.
The ZEW Indicator of Economic Sentiment for Germany declined to 40.4 in August, the lowest level since November and well below market expectations of 56.7. It was the third monthly decline in investor confidence.
Similarly, the ZEW Indicator of Economic Sentiment for the Euro Area fell by 18.5 points in August. It was the lowest reading since last November, amid concerns over the resurgence of the pandemic in Europe and fears of a slow recovery.
This morning, inflation rate figures for Germany rose to 3.8% year-on-year in July, the highest level since December 1993, and increased 0.9% month-on-month.
