The gloomy mood of the German economy weighed only a short time on the euro on Wednesday. By late evening, the common currency recovered from slight initial losses and hit $ 1.1767. It was about a US cent above its nine-month low a few days ago. Delivery bottlenecks and the increase in the number of corona have darkened the mood on the boards of German companies. The Ifo business climate index fell in August from 1.3 to 99.4 points, more sharply than expected and at the same time for the second consecutive month, as announced by the Munich institute during the ” a survey of around 9,000 managers. “Concerns are growing, especially in the hospitality industry and tourism,” said Ifo President Clemens Fuest. Due to the shortage of materials and rising costs, many companies want to increase the prices on their side. This applies for example to industry, retail and construction. Executives assess their situation a little better than before, but assess their business prospects with much more skepticism.
Oil prices rose for the third day in a row. The price of the North Sea Brent variety rose 1.7% to $ 72.23 per barrel and that of the US variety WTI rose 1.2% to $ 68.63. The trigger for the new price hike was data on crude oil inventories in the United States, which had declined by three million barrels last week, according to the United States Energy Information Administration (EIA). Inventories were about six percent below the five-year average for this time of year. Total gasoline inventories also fell significantly. The results of the oil market have been clearly positive since the start of the week. However, the spread of the more contagious delta variant of the coronavirus remains a constant stressor. However, it is hoped that there will be no major restrictions on public life in countries with high vaccination rates.