The Euro strengthened against the US Dollar, reflecting the unexpectedly upbeat ZEW sentiment report. The EUR/USD exchange rate added 12 base points to get back into the 1.2250 area.
Germany’s investors showed the strongest confidence in eight months, representing an optimistic tone for the economy entering 2018. The Mannheim-based ZEW Institute report revealed on Tuesday that the German Economic Sentiment Index rose to 20.4 points in January, following 17.4 in the last month of 2017. The country’s economy grew at the strongest pace since 2011 last year, supported by solid global trade and domestic spending. The Bundesbank stated that the momentum is set to continue, driven mainly by private consumption.
