Zeev's Turnips Patch-No Politics (ZEEV)

[Culmus]

Zeev, you forgot France, they came out with -0.3% Q2 GDP growth a couple of days ago. Eurozone industrial production is down YoY. German orders for machinery declined 3% YoY for the first half, they declined 6% YoY for the second quarter and they were down 9% YoY for the month of June. One could argue that the decline accelerates. German insolvencies are up 25% YoY for the January-May period.

For the dollar it could be a struggle between downward pressure because of the twin deficits (fiscal/trade)and upward pressure because Europe goes in the toilet.

Culmus