Salient to Investors:
German unemployment rose twice as much as economists forecast in October and the jobless rate increased for the first time in three years. Business confidence has dropped to a 2 1/2 year low.
Christian Schulz at Berenberg Bank said today’s report is another sign of economic weakness even in core euro-zone countries.
GfK predicts consumer confidence will rise to a five-year high in November.
The IMF expects the German economy to expand 0.9 percent in 2012 and the euro region to contract 0.4 percent.
David Milleker at Union Investment said the crisis hasn’t been solved yet and German unemployment might continue to increase in the months to come.
Christian Lips at NordLB said the outlook for growth in Germany isn’t great and unemployment will continue to climb.