German bonds: price gains – Ifo index disappoints
Flag of the Federal Republic of Germany. pixabay.com
FRANKFURT (dpa-AFX) – The prices of German government bonds rose on Wednesday, supported by weak German economic data. The trend-setting futures contract, the Euro Bund Future, climbed by noon
Disappointing economic data from Germany supported bonds somewhat. The mood in the German economy deteriorated again in November. The Ifo business climate, Germany’s most important economic barometer, fell more than expected. “Delivery bottlenecks and the fourth corona wave are causing problems for companies,” commented Ifo President Clemens Fuest. The companies surveyed assessed both the current situation and the future prospects as less favorable than in the previous month.
Speculations about the future monetary policy of the European Central Bank (ECB) continue to dominate events. ECB director Fabio Panetta dampened expectations of a quick turnaround in monetary policy. Premature tightening of monetary policy threatened to damage the economy in the euro area and put pressure on demand, he said in Paris on Wednesday. Most recently, ECB Vice-President Luis de Guindos and German Director Isabel Schnabel viewed the high inflation more critically. Some observers interpreted the statements as a cautious indication of a rethinking in the ECB.
In the afternoon, a veritable flood of economic data is on the program in the USA. The reason is the national holiday “Thanksgiving” on Thursday, which many US citizens and authorities use for a long weekend. Therefore, many economic figures are brought forward to this Wednesday. In addition, the US Federal Reserve published its minutes of the latest interest rate meeting in the evening./jsl/bgf/eas
More news Subscribe to BYD for free
ARIVA.DE publishes analyzes, columns and news from various sources in this section. ARIVA.DE AG is not responsible for content that has been recognized by third parties in the “News” area of this website and does not adopt it as its own. This content can be identified in particular by a corresponding “from” mark below the article heading and / or by the link “To read the full article, please click here.”; The named third party is solely responsible for this content.
Other users were also interested in this article: