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| Sterling has hit 1.3605 today, right next to its strongest versus the euro in 7 years. |
The UK pound is
gravitating towards a new 7-year high versus the euro today, having
climbed +0.58% to reached 1.3605, just a quarter cent below its
strongest since December 21st 2007. This is chiefly because
February’s assessment of the Germany economy, released today by
economic analysts IFO, disappointed financial investors.
Sterling is climbing
today, because IFO’s assessment of Germany’s business climate,
current assessment, and expectations all came in beneath forecasts
this morning. In particular, IFO noted that German firms are worried
about the political instability in Greece and Ukraine, given that
Germany is an export-oriented economy. To make its assessments, IFO
speaks to 7,000 German businesses each month. This thereby weakened
the euro, because it suggests that Germany, the Eurozone’s largest
economy, may not expand as strongly as previously thought in the near
future.
