Market updates on August 19
There were no major moves during the Asian trading session, however we have some events today, which may affect the sentiment in the market.
German industry output rallies on firm building sector
In September, German industrial output headed north a bit more than anticipated, underpinned by firm surge in construction. That’s what data revealed on Wednesday. The given outcomes hinted that a weaker third quarter in the EU’s leading economy might be temporary.
Worries about a trade conflict with America as well as the risk of a disorderly Brexit are putting pressure on surge hopes. Besides this, market experts paid much attention to government documents, disclosing that economic advisors had downgraded their forecasts for this year.
According to Economy Ministry data, in September, industrial output ascended by 0.2%, surpassing a Reuters estimate for a 0.1% ascend, the second monthly jump in a row after the August figure was updated upwards to 0.1%.
As the Economy Ministry told, a dismal phase in the industrial sector in the third quarter turned out to be temporary, generally linked to slower output in the car sector because of tweaks for a new pollution standard.
Many experts hoped for a recovery in industrial output by the end of 2018.
As a matter of fact, output in the construction sector managed to ascend by 2.2% in September. What’s more, it dived by 1% in the intermediate products branch and also by 3.3% in the energy sector.
The output data showed up after a sudden soar in September’s order data, powered by big ticket items as well as higher domestic and also euro zone demand.
As some economic institutes told, the German economy probably dived in the third quarter having reported 0.4% surge in the first quarter as well as 0.5% surge in the second quarter.
It became known on Tuesday that the German cabinet’s economic advisors had downgraded this year's surge estimate to about 1.6% from a previous forecast of 2.3%.
Similar
Market updates on August 15
The risk sentiment remains under pressure after the comments by China about the countermeasures against the US tariffs. Thus, the AUD/USD and the USD/JPY pairs will be under our attention.
Attention: risk sentiment is off
During the European trading session, both the US and the UK yield curves inverted.
Latest news
Crypto assets decline as OECD demands global ICO regulation
On Monday, crypto assets tumbled due to the fact that the Organization for Economic Cooperation and Development drew attention to the necessity of the global regulation of initial coin offerings…
German exporters don’t care about stronger euro
German exporters demonstrate ascending optimism as for their business prospects because growing demand from other euro zone countries helps to compensate worries regarding the strengthening currency, as the Ifo economic institute told on Wednesday…
Japan's October machinery orders tack on
In October, Japanese machinery orders rebounded with a faster soar than anticipated, thus re-affirming the resilience of capital spending, which is a major driver in the Japanese economy's almost two-year expansion…
Deposit with your local payment systems
