9 Dec 2013
Flash: Euro zone in focus - TDS
FXstreet.com (London) - Strategists at TD Securities noted the action around the Eurozone for today.
Key Quotes:
“German IP for October was quite a bit softer than our already downside forecast. Industrial production fell 1.2% m/m in October, versus expectations for a 0.7% gain. This follows a contraction in September, as well, and although the trade data for October reported earlier was better than expected, imports was the principal outperformer. While we do not see this as a sustained weakness for German data, it does set up German Q4 GDP in the hole, with a risk of contracting if the November data fails to show a rebound”.
“Also, today kicks off the final Eurogroup and EcoFin meetings for the year. This is the last preparatory meeting for the Leaders’ Summit the 19-20th. There has been a strong political push to have banking union and Single Resolution Mechanism details in place by year-end, so any new details should come out of here. In addition, there may be further detail on what to expect on the program negotiations with Greece, as well as potential colour on talk that there may be additional structural funds made available to countries that are meeting budgetary targets as a means of adding some further fiscal integration”.
Key Quotes:
“German IP for October was quite a bit softer than our already downside forecast. Industrial production fell 1.2% m/m in October, versus expectations for a 0.7% gain. This follows a contraction in September, as well, and although the trade data for October reported earlier was better than expected, imports was the principal outperformer. While we do not see this as a sustained weakness for German data, it does set up German Q4 GDP in the hole, with a risk of contracting if the November data fails to show a rebound”.
“Also, today kicks off the final Eurogroup and EcoFin meetings for the year. This is the last preparatory meeting for the Leaders’ Summit the 19-20th. There has been a strong political push to have banking union and Single Resolution Mechanism details in place by year-end, so any new details should come out of here. In addition, there may be further detail on what to expect on the program negotiations with Greece, as well as potential colour on talk that there may be additional structural funds made available to countries that are meeting budgetary targets as a means of adding some further fiscal integration”.