German economic sentiment deteriorates in November - ZEW

12th Nov 2024 08:22

(Sharecast News) - German business sentiment deteriorated in November, according to a survey released on Tuesday by the ZEW Center for European Economic Research in Mannheim.

The headline ZEW investor expectations index fell to 7.4 from 13.1 in October, coming in just below expectations for a reading of 13.0.

Meanwhile, the current conditions index fell 4.5 points from October to -91.4 in November.

ZEW President Achim Wambach said: "Economic expectations for Germany have been overshadowed by Trump's victory and the collapse of the German government coalition. In the current survey, economic sentiment has declined - and the outcome of the US presidential election is likely to be the main reason for this. The fact that economic expectations for the USA are clearly rising, while economic sentiment for China and the eurozone is falling, supports this view.

"Still, more optimistic voices were heard in the last survey days, expecting economic prospects for Germany to improve with snap elections on the horizon. Overall, what we're currently observing is a very dynamic development of economic expectations."