Germany: Business confidence eases in September
September 24, 2018
Sentiment among German businesses inched down to 103.7 points in September from a revised 103.9 points in August (previously reported: 103.8 points). Nonetheless, the index remained above the 100-point mark that separates optimism from pessimism.
A sector-by-sector breakdown showed a mixed picture. Sentiment among manufacturers edged down due to a noticeable deterioration in their views of current conditions, even though their business outlook reached a seven-month high. In the services sector, firms’ assessment of current conditions was virtually unchanged while their business outlook worsened. Companies in the trade sector reported improved current conditions and a more favorable business outlook, chiefly due to the retailing subsector. Businesses within the construction sector also grew more positive regarding current conditions and their business outlook.
Germany Fixed Investment Forecast
FocusEconomics Consensus Forecast panelists expect gross fixed investment to expand 3.4% in 2018, which is down 0.4 percentage points from last month’s forecast. In 2019, the panel sees investment growth moderating to 2.8%, down 0.2 percentage points from last month.
Author: Jan Lammersen, Economist