Investing.com - German economic sentiment improved to the highest level in four months in November, easing concerns over the euro zone's largest economy, industry data showed on Tuesday.
In a report, the ZEW Centre for Economic Research said that its index of German economic sentiment rose by 15.1 points to 11.5 this month from October’s reading of minus 3.6.
Analysts had expected the index to improve by 4.5 points to 0.9 in November.
"The recent growth figures for the euro area suggest that the economy is stabilizing, which contributed to the indicator’s increase. However, the economic environment remains fragile, not least due to ongoing geopolitical tensions," says ZEW President Professor Clemens Fuest.
The Current Conditions Index improved to 3.3 this month from 3.2 in September, better than expectations for a decline to 1.3.
Meanwhile, the index of euro zone economic sentiment increased to 11.0 in October from 4.1 in September, above expectations for an increase to 4.3.
On the index, a level above 0.0 indicates optimism, a level below 0.0 indicates pessimism.
EUR/USD was trading at 1.2531 from around 1.2515 ahead of the release of the data, while EUR/GBP was at 0.8005 from 0.7993 earlier.
Meanwhile, European stock markets added to strong gains. Germany's DAX tacked on 1.2%, the DJ Euro Stoxx 50 inched up 1.1%, France’s CAC 40 advanced 0.8%, while London’s FTSE 100 rose 0.6%.