Germany: Business confidence rises to eight-month high in March
March 25, 2015
The business confidence index, elaborated by the Ifo Institute, advanced from 106.8 in February to 107.9 in March and came in above market expectations of an increase to 107.3. Following the declines recorded between May and October of 2014, the index improved in March for a fifth consecutive month and continued to recover some of the lost ground. Now the index sits at the highest level in eight months.
According to the Institute, March’s print reflects that firms were more positive regarding both their current economic situations and future business development than in the previous month. Business climate rose in the manufacturing, wholesaling and retailing sectors but worsened in construction. Overall, the Ifo Institute commented that the reading suggests that, “[t]he German economy continues to expand.”