German outlook declines while Eurozone optimism grows
The economic outlook for Germany has declined to a nine month low in August, according to the latest data provided by the ZEW institute, while the assessment of the eurozone outlook continued to pick up.
“The German economic engine continues to run at a steady pace. The fact that the economic outlook deteriorated nevertheless could be due to the fact that the given geopolitical and global economic context, a further improvement of the German economic situation appears unlikely” commented ZEW president Clemens Fuest.
Despite the six motnh outlook, which is based on a survey among 28 institutional investors, declining by
-4.7 basis points (bsp) compared to the previous month, it is now at a total of 25.0 bsp. The assessment of the current situation improved by +1.8 bsp compared to the previous month.
While the indicator for the current economic situation in the Eurozone improved by 4.1 bsp to -10.3. the outlook improved significantly, by 4.9 bsp to a total of 47.6 bsp.