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German investor morale surges on shopping spree expectations


By Reuters Staff
3 Min Read
BERLIN (Reuters) - Investor morale in Germany rose beyond even the most optimistic forecast in February on expectations consumption will take off in the coming months, the ZEW economic research institute said on Tuesday, buoying the outlook for Europe’s largest economy.
FILE PHOTO: Kaufinger Strasse stores are seen closed due to the coronavirus disease (COVID-19) pandemic in Munich, Germany, February 5, 2021. Picture taken February 5, 2021. REUTERS/Michaela Rehle/File Photo
The ZEW said its survey of investors’ economic sentiment showed a rise to 71.2 points from 61.8 the previous month. A Reuters poll had pointed to a fall to 59.6, and the February reading surpassed even the highest forecast, of 68.0. ....

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Pound Euro Exchange Rate Sees Limited Gains on German Economic Sentiment Surge | Euro Exchange Rate News


Stronger German Economic Sentiment Limits Pound Euro Exchange Rate Upside
The Pound to Euro (GBP/EUR) exchange rate began to shake off some of the impact of the unexpectedly improved German ZEW economic sentiment index.
Although the index surged from 61.8 to 71.2 on the month in February this failed to keep the Euro (EUR) on a stronger footing for long.
While this improvement suggests that economic confidence within the Eurozone’s powerhouse economy has strengthened the lingering risk of a double-dip recession remains.
Lingering doubts over the strength of the Eurozone economic outlook and a stronger US Dollar (USD) both served to limit the upside potential of EUR exchange rates at this stage. ....

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