Positive Signals from the Economy Raise Confidence

The ZEW Indicator of Economic Sentiment for Germany again recorded an increase in the current May 2024 survey. At 47.1 points, it is 4.2 points above the April value. The assessment of the economic situation in Germany has also improved. The corresponding indicator rose by 6.9 points to a new value of minus 72.3 points.

“The confidence increases. Following the stronger-thanexpected growth of the German economy in the first quarter of 2024, both the assessment of the current situation and economic expectations have become more favourable. Signs of an economic recovery are growing, bolstered by better assessments of the overall eurozone and of China as a key export market. The increased optimism is reflected in particular in the sharp rise in expectations for domestic consumption, followed by the construction and machinery sectors,” comments ZEW President Professor Achim Wambach on the survey results.

The financial market experts’ sentiment concerning the economic development of the eurozone also experienced a slight increase in May. At 47.0 points, the indicator went up 3.1 points compared to April. The situation indicator for the eurozone rose sharply as well, climbing 10.2 points to a new reading of minus 38.6 points.