German Business Confidence Hits Lowest Level In More Than Four Years

Business confidence in Germany weakened to its lowest level in more than four years this month, casting fresh doubt over the health of the eurozone’s largest economy amid conflicting economic indicators, the Financial Times reported. The Ifo Institute’s business climate indicator in May fell to 97.9, below analyst expectations and down from 99.2 the previous month. The reading is the lowest since November 2014, according to FactSet data. Much of the decline was down to a fall in assessment of current conditions, which fell to 100.0 from 103.4 the previous month. Business expectations stayed steady on the month at 95.3. “The German economy is still lacking in momentum,” said Clemens Fuest, president of the Ifo Institute. The German economy rebounded in the first quarter, data released on Thursday confirmed, expanding 0.4 per cent after a slowdown in the second half of last year, but subsequent indicators have painted a mixed picture. Read more