German Business Outlook Dims Further as 2023 Wraps Up
• Business sentiment for the next 6 months declined in Germany, with the IFO index falling from 87.2 in November to 86.4 in December • The drop was unexpected, as markets had forecast a small improvement to 87.8 • The index measures 9,000 firms' views on the current business climate and 6-month outlook from -100 (worsening) to 100 (improving) • Results indicate an economic recovery remains distant as 2023 wraps up • High inflation and weak industrial production have strained growth in 2023