January 2018 German IFO business climate index 25 January 2018
- Prior 117.2
- Current conditions 127.7 vs 125.4 exp. Prior 125.4. Revised to 125.5
- Expectations 108.4 vs 109.4 exp. Prior 109.5. Revised to 109.4
Things are looking rosy now but expectations dip.
- German economy is in excellent condition despites the lack of a new government
- German industry is getting close to full capacity
- Does not see any overheating of the economy yet as prices are not being pushed up and wage growth is moderate
- Has seen no impact from US tax reform on German economy
- There’s been no dampening effect from euro strength on the economy
That’s music to Draghi’s ears.
- Spain Q4 2017 unemplyment rate 16.55% vs 16.15% exp. Prior 16.38%
- Italy industrial orders Nov 2017 0.3% vs 1.9% prior m/m SA
- 8.9% vs 12.5% prior y/y NSA
- Sales 1.3% vs 1.1% prior m/m SA
- 5.1% vs 5.0% prior y/y WDA