The euro remains steady against USD, just about holding onto August’s gains against USD.
Potential threats to European business remain however, including a potential no-deal Brexit. Tensions with Russia will inevitably rise as German doctors claim that opposition leader Navalny was poisoned.
German GDP came in this morning at 11.3% down year-on-year, a little better than expected. We will also hear about German consumer confidence this morning from Ifo, a measure of companies’ expectations for the coming months.
Germany’s traditionally biggest industry – notably car manufacturers – faces headwinds, and the collapse of Wirecard highlights that Europe’s biggest economy lags behind on tech stocks, which are set to be the biggest winners in a potentially K-shaped recovery.
Look out for French consumer confidence and unemployment data tomorrow.
