German ZEW Economic Sentiment rose to -13.4 in February, up from -15 and beat expectation of -13.7. Despite the improvement, the data stayed negative and well below long-term average of 22.4. Current Situation index, however, dropped to 15, down from 27.6 and missed expectation of 21. Eurozone ZEW Economic Sentiment also rose to -16.6, up from -20.9 and beat expectation of -18.2. Eurozone Current Situation index dropped -8.3 to -3.
“At the moment, we do not expect a rapid recovery of the slowing German economy. The economic situation in Germany has been weak, especially in the manufacturing sector. The figures for industrial production have once again seen a decrease, incoming orders are stagnant and foreign trade currently provides no fresh impulses. All of this is reflected in the fact that the assessment of the current situation has experienced a considerable decline. For the next six months, the financial market experts in our survey do not expect any improvement,” comments ZEW President Professor Achim Wambach.
