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November 24, 2020 @ 15:51 +03:00
Recently, there seems to be an intensified struggle between Europe and the USA for whose macroeconomic performance will more strongly exceed expectations. Yesterday it was the USA and today, it is Germany’s turn.
Germany’s GDP recovery in Q3 was 8.5%, reducing its annual decline to 3.9%, according to a final estimate (no revision from +8.2% was expected). A little later, the Ifo Business Environment Index came out at 90.7 in November, showing a smaller decline than predicted and causing the euro to rise within reach of 1.19.
This tug-of-war continues to play into the hands of commodities and stock markets, where futures on the Dow are again just shy of 30,000.
Gold is the main victim of this optimism. The price per ounce has fallen below $1810 (-1.5%), to its lowest level since late July.
The FxPro Analyst Team