German economic sentiment rebounds in October ’24
German economic sentiment saw a significant improvement in October 2024, with the ZEW Indicator of Economic Sentiment increasing to 13.1 points, a gain of 9.5 points from September, marking a recovery from the previous month’s losses.
Despite this positive shift, the assessment of the current economic situation worsened, with the indicator falling by 2.4 points to -86.9, as nearly 90 per cent of respondents view the current economic landscape negatively.
ZEW President Professor Achim Wambach highlighted that the increase in sentiment can be attributed to expectations of stable inflation rates and potential interest rate cuts by the European Central Bank (ECB).
Additionally, improving economic expectations for the eurozone, the USA, and particularly China—bolstered by recent Chinese government stimulus measures—have contributed to this newfound optimism in Germany’s economic outlook.
Attribution: ZEW
Subediting: M. S. Salama
