020 7898 0500The euro weakened against sterling and the dollar yesterday despite some positive economic readings and Merkel’s entering fresh coalition talks. Reaching an agreement with the Social Democrats will not be easy for Merkel’s centre-right party and any deal will likely include several concessions.
Retail sales in the eurozone increased by 2.8% year-on-year in November against an expectation of 2.2%. Further evidence of a robust economy and positive end to 2017. Business confidence in December also came in higher than expected at 1.66.
Today sees the release of the German balance of trade for November and we will also see the unemployment rate for the eurozone. It is expected to slip from 8.8% to 8.7%.
