The German economy’s momentum into the new year. The Barometer for the business climate decreased in December to 101.0 points of previously 102,0 counters, such as the Munich-based Ifo Institute on Tuesday announced its monthly survey of around 9,000 managers.
This is the fourth decline in a row. Economists had only expected a drop 101.8. “This year, the mess is for the German economy is lean,” said Ifo President Clemens Fuest. The executives assessed their current business situation this time is worse, as well as the prospects for the next six months.
In Manufacturing, the mood will be worse. There, the expectations of the companies are for the first time in may 2016 negative. The current situation, however, remains at a high level. Managers from the services sector and the trade, assess the situation and the expectations for the worse. In the construction industry, the current situation is considered to be better than in the last survey. The expectations were but also here.
His economic forecasts for Germany were lowered, the Ifo Institute strongly. The gross domestic product is expected to grow in the year to 1.5 percent in 2019, even by only 1.1 percent. So far, they were assumed to be 1.9 percent. The problems of the Auto industry with the new emission standard of measurement to dampen currently the economy, as uncertainties such as the Brexit, the budget dispute in Italy and the American trade policy.