The monthly ifo index on business confidence has dropped from 106.3 points in August to 104.7 points in September, the lowest level since April 2013, reflecting ongoing challenges for the German economy.
The business climate for the manufacturing sector deteriorated further from 9.4 the previous month to 6.3 in September as most respondets did not expect exports to pick up. This pessimism was also reflected in the wholesale index, wich dropped from 2,7 to -2.4.
The September ifo index is based on a survey of 7000 local entrepreneurs. it largely corresponds to the latest Markit PMI index released yesterday, which also reported a deteriorating economic climate in Germany.