Economic Data Preview: ZEW Survey

Germany’s ZEW Survey of investors’ sentiment is expected to remain at -63.0 in November, the second lowest reading in at least 17 years. The broader Euro Zone version of the survey is seen printing at -60.5, marginally better than October’s -62.7 result but still within a hair of the lowest readings since the series’ inception over 8 years ago. The European Commission expects the economic growth in the currency bloc to print at a meager 1.20% in 2008, down 54% from the previous year and the lowest in five years. Things are expected to get even worse in 2009 with the economy expanding a barely noticeable 0.5%. The European Central Bank will continue trying to kick-start the economy with monetary stimulus: traders are pricing in a rate cut of 25-50 basis points when Trichet and company meet on December 4th.