German Economic Sentiment Misses Big And Dives In April

audiocomplex / Creative CommonsThe ZEW survey of economic sentiment — a widely regarded German survey — plunged in April.

The dive from 48.5 to 36.3 greatly exceeded the expected drop to 42.

Here’s the press release:

In April 2013 the ZEW Indicator of Economic Sentiment for Germany has fallen by 12.2 points and is now at a level of 36.3 points. Despite its decline, the indicator currently hovers at its third highest mark within the last 24 months. The current level has only been exceeded in the two preceding months. 

“Basically, the surveyed financial market experts remain confident, but are less optimistic than they have been in the previous month. The decline in economic sentiment is consistent with the release of economic data that fell short of expectations”, says ZEW President Prof. Dr. Clemens Fuest. German exports into the Eurozone as well as the rest of the world have declined, for instance. The debt crisis in the Eurozone is still unresolved and causes uncertainty. 

The assessment of the current economic situation for Germany has slightly declined in April. The respective indicator has fallen by 4.4 points and now stands at the 9.2 points-mark. Economic expectations for the Eurozone have decreased again in April. The respective indicator has fallen by 8.5 points to 24.9 points. The indicator for the current economic situation in the Eurozone has remained almost unchanged and now stands at the minus 76.0 pointsmark.  

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