German consumer confidence up
The German GFK consumer confidence index for September has climbed to 3.7, beating market expectations and reaching a three-year high on the view that the eurozone's largest economy has pulled itself out of recession. The German consumer price index has fallen 0.7% in July, the first decline in 22 years as lower prices and large government stimulus packages helped revive the German economy.
The news added further fuel to the rally in euro exchange rates, with the euro now reaching its longest streak of gains over the pound since January. Economists are predicting Germany will return to sustained growth in mid 2010 and this could help lead other eurozone nations out of recession through improved regional trade levels.
The euro exchange rate is currently at USD1.4260 and GBP0.8817
The rates quoted above are interbank rates. Client rates may vary according to the volume and timing of the trade.