Germany: Business confidence rises for second consecutive month
June 24, 2013
The business confidence indicator published by the Ifo Institute edged up to 105.9 points in June from 105.7 points in May, a result that was in line with market expectations. The indicator improved for a second consecutive month and reached its highest level since March. The monthly improvement primarily showed that firms are more optimistic about their future business prospects, whereas respondents to the June survey showed less optimism about their current business situation. According to the Ifo Institute, "the German economy holds its curse". FocusEconomics Consensus Forecast panellists expect gross fixed investment to increase 0.2% in 2013, which is down 0.2 percentage points from last month's forecast. Next year, the panel sees investment growth accelerating to 3.7%.
Author: Ricardo Aceves, Senior Economist