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German Investor Confidence Up Written by Charmaine Li on 14. February 2012

German Investors

German Investors
If investor confidence is anything to go by, the German economy is on an upward trend, despite Chancellor Angela Merkel’s gloomy 2012 predictions of an “undoubtably” harder year amid fears of the eurozone crisis.
The Centre for European Economic Research (ZEW) has reported a 10-month high in German investor confidence which brought the economic expectation index up 27 points to 5.4 points this month. It’s the third consecutive monthly increase which pushes the indicator back into positive territory for the first time since May 2011.
“From the perspective of the financial market experts there is a good chance that the German economy will experience a slight uplift in the second half of 2012. Since consumers do not have to fear for their jobs due to the low unemployment rate, domestic demand will continue to support economic growth. Still, the solution of the crisis in the Eurozone remains an important task,” says ZEW President Wolfgang Franz.
The ZEW index reading is based on responses from 284 analysts and is Germany’s only barometer of investor confidence.
Image credit: flickr user caribb