The DAX Index Improves Thanks To German Retail Sales

Forex News

DAX rose 0.75% to close at 12,762. German retail sales increased 2.3%, marking the 5-month maximum. French Consumer Spending dropped 1.5% and Preliminary Gross Domestic Product reduced to 0.2%. Today, Germany will present Preliminary Consumer Price Index and the US will announce Preliminary Gross Domestic Product.

This week, the Index fell 2.2%. This broad weakening was due to political tension in Italy. Sergio Mattarella (Italian President) declared his veto on the request to form coalition, that came from the Five Star Movement and the Lega Nord. The President also refused to give Paolo Savona, a known critic of the euro and idea of staying in the bloc, a seat of economic minister. Five Star Movement and Lega Nord were furious with Mattarella’s rejection. Now, Italy’s President ordered to form a temporary technocrat government, suggesting that Italy will have another pretty soon.