ZEW investor confidence survey rose to 88, keeping eyes on the EZ economy - Scotiabank

Analysts at Scotiabank explained that German wholesale prices fell 0.7% in Mar while the ZEW investor confidence survey rose to 88 this month, above May’s 83.9 and forecasts for a rise to 85.

Key Quotes:

"The data suggests confidence in German, and Eurozone, growth pushing ahead. Spot is little changed on the session and virtually flat on the week so far. Spreads (2Y bond differentials at –206bps) remain a potential drag on the EUR but, as noted above, we rather think markets have moved on from yield differentials to stocks and growth prospects; given the political cloud hanging over the Trump administration, this may persist. We are more constructive on the EUR as a result."