Sentiment Continues to Improve – US Election Affects Economic Expectations

The ZEW Indicator of Economic Sentiment for Germany has increased substantially in November 2016. The index has improved by 7.6 points compared to October, now standing at 13.8 points (long-term average: 24.0 points). "The ZEW Indicator of Economic Sentiment has increased for the fourth consecutive time – not least due to the positive economic figures seen in the US and China. The renewed increase is indicative of a stronger economic growth in the coming six months. The election of Donald Trump as US President and the resulting political and economic uncertainties, however, have made an impact. After the election, the economic sentiment has been less positive than before," comments ZEW President Professor Achim Wambach.