Single Currency Improved, Positive German and Eurozone Manufacturing PMIs
The Euro/Dollar pair has risen 0.18% to trade at 1.1844. German Final Gross Domestic Product increased to 0.8%. German Manufacturing PMI lifted to the 7-year maximum of 62.5 and Eurozone Manufacturing PMI hit 60.0. This marked robust manufacturing, which was in turn supported by growing global demand and better domestic consumption. Today, European Central Bank will publish the protocol of its October meeting. US is celebrating the Thanksgiving holiday, so there won’t be any data from there. Tomorrow, Germany will feature Ifo Business Climate.
Angela Merkel didn’t manage to create a coalition with Free Democratic Party and Greens. The Chancellor is about to negotiate with leaders and figure it out, but so far, Germany will remain in the standby mode. Frank-Walter Steinmeier claimed that so far there is no need in arranging new election and that leaders of parties should take some time and mull the whole situation. But, if there is no progress negotiations, they would be forced to call the election. The appreciation of Angela Merkel has strongly sunk. It seems that the majority would prefer new election and not many people think that Angela Merkel will become a Chancellor again.