The economic expectations of financial experts in Germany clouded over again in July.
The mood barometer of the ZEW research institute fell by 6.2 points to minus 14.7 points compared to the previous month, as the Center for European Economic Research (ZEW) announced on Tuesday in Mannheim. Analysts had expected a more moderate deterioration to an average of minus 10.6 points. In the previous month, the mood had brightened.
“Financial market experts expect the economic situation to deteriorate further by the end of the year,” commented ZEW President Achim Wambach. A key reason for this is the expectation that interest rates will continue to rise in the euro area and in the USA. “In addition, important export markets such as China are rated relatively weak.” The second-largest economy in the world has only recovered modestly from the once strict corona policy of the political leadership for months.
The assessment of the economic situation in Germany also deteriorated. It dropped 3.0 points to minus 59.5 points. However, economists had expected a clearer decline to minus 62.0 points. (dpa)