German Gfk consumer sentiment for May dropped to -8.8, down from -6.2, missed expectation of -4.8. In April, economic expectations dropped from 17.7 to 7.3. Income expectations tumbled from 22.3 to 9.3. Though, propensity to buy rose from 12.3 to 17.3.
Rolf Bürkl, GfK consumer expert comments on the subject: “The recovery of the domestic economy will continue to lag due to the third wave. As in 2020, consumption will again not be a pillar of the economy this year. In the years before the pandemic, private consumer spending had still made an important contribution to the growth of the German economy.”
