According to data published on Tuesday, June economic sentiment in Germany improved dramatically, despite the expectations of analysts. The ZEW Centre for Economic Research said that its index of economic sentiment in Germany rose in June to 19.2 points from 6.4 in May. This is the strongest growth rate in nearly a year. Analysts had expected the index to decline to 4.7 points.
The index of current economic conditions this month improved to 54.5 from 53.1 in May, while there was expected a decline to 53.0.
Meanwhile, economic sentiment in the Eurozone rose in June to 20.2 from 16.8 the previous month, confounding forecasts about a fall to 15.3.
ZEW noted that the improvement in sentiment shows confidence in the stability of the German economy, but the outlook is still clouded by the difficult conditions in the global economy and the uncertainty about Brexit.
The EUR/USD was trading at 1.1335; its value has not changed significantly after the release of positive data.
As for the German stock market, on Tuesday it closed the trading session in different directions due to the strengthening of the food and beverage, utilities and the chemical industry sectors, and negative dynamics on the part of basic resources, technology and transport and logistics sectors.
At the close of the Frankfurt Stock Exchange, DAX 30 rose 0.54%, MDAX index rose 0.30%, and TecDAX index fell 0.25%.
On the Frankfurt Stock Exchange, the number of advancing securities (491) exceeded the number closed in the red territory (377), while quotations of 30 shares remained virtually unchanged.
The volatility index DAX Volatility, which is based on options trading indicator on the DAX 30, rose 0.33% to reach 27.12.
Gold futures for August delivery lost 1.50%, or 19.35, reaching $ 1272.75 an ounce. As for other commodities, the price of WTI oil for August delivery fell 1.90%, or 0.95, to $ 49.01 a barrel. Brent crude oil futures for August delivery fell 1.93%, or 0.98, to $ 49.67 a barrel.
USD Index rose 0.36% to 94.02.