Euro Rallies as German Business Climate Improves

The euro rallied today after the release of the German business climate index that was better than analysts’ expectations, suggesting that things have improved in the eurozone after the seemingly successful resolution of the Greek crisis.
The Ifo Business Climate Index for Germany rose to 108.0 in July from 107.5 in June. The report noted that the positive developments in the situation surrounding Greece contributed to the improvement of the sentiment:

The recent easing of the Greece situation contributed to stronger sentiment in the German economy.

The euro climbed after the report, showing little reaction to the news from China, similar to other currencies.
EUR/USD rallied from 1.0981 to 1.1071 as of 10:26 GMT today, touching the daily high of 1.1112 (the strongest rate since July 13). EUR/JPY gained from 135.84 to 136.58, and its intraday maximum of 136.98 was also the highest in two weeks.

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