European session investors have been exposed to German business sentiment data as a gauge to the health of the European economy.
Unfortunately, the German business climate index as a result of the Ifo survey registered a decline in October with a reading of 97.7 from 98.9 recorded the previous month. This reading is the lowest ever recorded since April.
Following on from the data, Ifo economist Klaus Wohlrabe said the main cause of the decline was supply chain problems affecting businesses.
Klaus Wohlrabe’s statement supported the reading of economic data published last Friday which saw a decline in business activity due to supply chain problems disrupting production.
The euro traded little changed following this reading, which was largely influenced by the movement of the greeback dollar.
At the time of writing, the euro is trading hovering around 1.16470 against the US dollar, still maintaining the gains earned today.
Investors' focus is now on the European Central Bank's (ECB) policy meeting on Thursday, which is expected to remain with loose monetary policy.
