Renewed Rise in Economic Sentiment

The ZEW Indicator of Economic Sentiment for Germany increased by 13.4 points to a value of minus 23.3 points in the current December 2022 survey. This marks the third consecutive rise since September 2022. The assessment of the economic situation in Germany also continues to improve and currently stands at minus 61.4 points, 3.1 points higher than in the previous month. The economic outlook for Germany has thus become considerably more optimistic in the last two months.

“The ZEW Indicator of Economic Sentiment rises again significantly in December. The vast majority of financial market experts expect the inflation rate to decline in the coming months. Together with the temporary stabilisation on the energy markets, this leads to a significant improvement in the economic outlook,” comments ZEW President Professor Achim Wambach on current expectations.

The financial market experts’ sentiment concerning the economic development of the eurozone increased by 15.1 points in December, with the corresponding indicator currently standing at minus 23.6 points. The situation indicator also recorded a rise, climbing 7.7 points to a level of minus 57.4 points.

Inflation expectations for the eurozone fall very sharply again in December. They currently stand at minus 79.3 points, 27.1 points below the November value.