The ZEW Indicator of Economic Sentiment for Germany declines significantly in October. It is now standing at 23.4 points which corresponds to a decrease of 16.1 points compared with the previous month.

The Indicator is falling below its historical average of about 34 points. Thus, the downward trend of the last months is continuing. "The financial analysts again indicate a noticeable deterioration of economic prospects," said ZEW president Prof. Dr. Wolfgang Franz.

In October 319 analysts and institutional investors participated in the ZEW Financial Markets Survey which is conducted monthly by the Centre for European Economic Research (ZEW), Mannheim. The participants were asked about their medium-term expectations concerning economic activity and capital markets. The ZEW Indicator of Economic Sentiment shows the balance between positive and negative expectations regarding future economic activity in Germany within a timeframe of six months.

In October expectations for the eurozone economy declined less than the German indicator. They now stand at 34.3 points compared to 43.0 points in September.

Contact

Dr. Felix Hüfner, Email: huefner@zew.de

Dr. Friedrich Heinemann, Phone: +49 (0)621 1235-149,  E-mail: heinemann@zew.de