Business sentiment in Euro zone is going down
The most recent signs from several corners of the Euro zone are not so bright about the economy in future. Ifo confidence index in Germany dropped to 89.9 from 91.3 in June, its second successive monthly fall. It was the latest sign that business sentiment across the Euro zone is decreasing due to a stronger Euro, falling stock markets and uncertain outlook for the US economy. Last Wednesday, Italy and Belgium also reported decreases in business sentiment that had hinted the trend, and the German index result has confirmed it. The drop in the Ifo index was caused mainly by a gloomier assessment of current and future business conditions by German manufacturers. On the other hand, the UK retail sales fell in June for the second consecutive month. SteelOrbis has been told, Bank of England is expected to leave its interest rates at a 38 year low of 4%.