Euro ZEW Survey Suggests Positive Chinese Data Improving Sentiment
- Euro-Zone ZEW Survey Economic Sentiment up to 21.5 vs 10.6 prior
- German ZEW Survey Economic Sentiment at 11.2 vs 8.0 expected
- Euro slightly higher versus other major currencies
The Euro traded slightly higher versus other major currencies (at the time this report was written) after today’s Euro-Zone ZEW Survey showed Financial market experts' sentiment concerning the Euro-Zone’s economy is more optimistic. The Euro-Zone’s sentiment figure printed 21.5, which was above the prior 10.6. The Current Situation Assessment fell slightly to -12.1 in the Euro-Zone from the prior -11.8.
The German ZEW Survey of Economic Sentiment index rose to 11.2 from the prior reading of 4.3, and was above economist’s expectations of 8.0. The German Current Situation figure declined to 47.7 from the prior 50.7 reading, below the expected 50.8 figure. A reading above 0.0 indicates optimism, while below indicates pessimism. 225 analysts participated in the Survey.
The figures came two days prior to the ECB rate decision, in which the Central Bank is expected to keep policy unchanged, as a policy move this week seems too close to the most recent stimulus efforts. With this in mind, it seems the market interpreted the uptick in optimism regarding developments in the Euro-Zone’s economy as sufficient to generate a slight positive response, and the Euro was slightly higher versus other majors after the figures hit the wires.
EURUSD 5-Minute Chart: April 19, 2016
--- Written by Oded Shimoni, DailyFX Research
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