German ZEW expectations to show a small decline to 9.5 – Danske Bank

Today, German ZEW expectations data is the major economic release from the Eurozone and overall, analysts at Danske Bank expect the ZEW expectations to show a small decline to 9.5.

Key Quotes

“In August, the figure dropped to 10.0, due to weaker exports and the growing scandal in Germany's automobile sector. Together with the appreciating euro's pressure on exports, this could cause economic sentiment to deteriorate. However, both business expectations (Ifo) and German PMIs increased in August, signalling still increasing optimism on the part of business.”

“The Central Bank of Hungary will hold its monetary policy meeting today, where it might expand liquidity further by lowering the cap of the three-month deposit and/or cutting the O/N interest rate, despite inflation starting to pick up recently.”