German Business Confidence Fell In May On Greek Concern

http://www.bloomberg.com/news/2012-05-24/german-business-confidence-fell-in-may-on-greek-concern.html

The Ifo Institute released its business climate index last week. It dropped from 106.9 to 109.9 in April. This drop arose as a result of Greece's cloudy future. Pundits aren't sure whether Greece will be able to remain in the euro zone. That doubt is weighing down the business prospects of the other members of the euro zone. On a positive note, the German economy continued to grow and it is a source of pride for the euro zone.

In class we've talked a lot about currency and its value in the international market. If Greece continues you to falter, the value of the euro would likely fall which could lead to a multitude of both GDP and inflation problems.