The common currency Euro was lower against the greenback during Monday trade in London after the latest survey from Germany showed business sentiment continuing to erode. The CESIfo Group released its latest business surveys for the month of August, with all of them taking an unexpected dip from previous readings and from analysts' predictions. The IFO Current Assessment fell to 97.3 from, 99.4, with analysts forecasting a slight decline to 98.6. The Business Climate survey also fell, with a reading of 9492.2 and against a predicted 95.1, down from July's 95.7. The Expectations survey was equally as disappointing, coming in at 91.3, below the July reading of 92.2 and below the expected 91.5. With Germany the Eurozone's largest economy and driver of the overall EU economic area, these readings suggest that concerns over global growth are far reaching.
As reported at 11:52 am (GMT) in London, the EUR/USD was trading lower at $1.1121, down 0.2019%; the pair has ranged from a trough of $1.11098 to a high of $1.11639. The EUR/GBP is trading higher at 0.9084 Pence, up 0.2096% and moving off the earlier low of 0.90630 Pence.
Safe Havens See Higher Demand
Markets are still digesting the fallout from the G7 meeting which took place over the weekend. US President Trump had escalated the trade rift between the US and China but he now appears to be backpedaling on some of the rhetoric. Nonetheless. Market confidence remains in a shambles which has helped to drive recent demand for safe haven currencies. The Japanese Yen had been broadly higher but risk appetite has crept back in. The EUR/JPY is higher at 117.65 Yen, a gain of 0.1686% while the USD/JPY is up at 105.8090 Yen.