Consumer confidence in Germany slips for second month
Consumer confidence in Germany, Europe's biggest economy, fell for a second consecutive month amid concerns about financial turbulence in global markets, according to a survey published on Wednesday.
By Agencies |
FRANKFURT: Consumer confidence in Germany, Europe's biggest economy, fell for a second consecutive month amid concerns about financial turbulence in global markets, according to a survey published on Wednesday.
The GfK research group said its forward-looking consumer climate indicator for October stood at 6.8 points _ down from a revised 7.4 in September, and its second drop since March. Analysts surveyed by Dow Jones Newswires had forecast that the index be 7.0 points.
"The credit crisis in the US and the rising food prices are primarily responsible for the somewhat less euphoric consumer mood," the Nuremburg-based GfK said.
Consumers are also concerned that the strength of the euro, higher energy prices, and a downturn in the U.S. will restrict German economic growth, it said.
The decline in the GfK index follows drops this month in two other surveys that are closely watched indicators for the German economy _ the Ifo index of business confidence and the ZEW survey of investor confidence.
Helped by strong exports, Germany has been emerging over the past two years from a lengthy period of economic stagnation that pushed up unemployment and prompted Germans to tighten their purse strings.
Recently, however, several indicators for the nation's economy have been sliding, among them surveys of investor and consumer confidence. The US subprime lending crisis has rippled through markets in Europe and elsewhere.
The GfK survey is based on monthly interviews with about 2,000 consumers.
The GfK research group said its forward-looking consumer climate indicator for October stood at 6.8 points _ down from a revised 7.4 in September, and its second drop since March. Analysts surveyed by Dow Jones Newswires had forecast that the index be 7.0 points.
"The credit crisis in the US and the rising food prices are primarily responsible for the somewhat less euphoric consumer mood," the Nuremburg-based GfK said.
Consumers are also concerned that the strength of the euro, higher energy prices, and a downturn in the U.S. will restrict German economic growth, it said.
The decline in the GfK index follows drops this month in two other surveys that are closely watched indicators for the German economy _ the Ifo index of business confidence and the ZEW survey of investor confidence.
Helped by strong exports, Germany has been emerging over the past two years from a lengthy period of economic stagnation that pushed up unemployment and prompted Germans to tighten their purse strings.
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Recently, however, several indicators for the nation's economy have been sliding, among them surveys of investor and consumer confidence. The US subprime lending crisis has rippled through markets in Europe and elsewhere.
The GfK survey is based on monthly interviews with about 2,000 consumers.
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