Better than median forecast of 105.7.

EUR/USD has spiked higher, presently at 1.2720. Earlier had been receiving reports of sell orders at 1.2720/30.

Ifo’s Abberger:

  • Growth rates in 2010 first half can not be sustained but no cooling in second half
  • Germany will be affected in 2011 if US, Asia slip into recession
  • Germany will have slight growth in consumption for full year 2010
  • Possible risks for German growth are mainly from abroad
  • No reason for any changes in interest rate policies at moment