Germany’s May business confidence misses estimates

The Ifo Business Climate gauge for Germany was reported at a level of 89.3 in May, or unchanged compared to April.

Yet, the latest reading came below market consensus of 90.4.

The sub-index of current conditions decreased to 88.3 in May from 88.9 in April.

At the same time, the sub-index of business expectations registered an improvement to 90.4 in May from a revised down 89.7 in April.

“Companies were less satisfied with their current business situation, but expectations brightened. The manufacturing, trade, and construction sectors are recovering, although the service sector took a slight hit. Germany’s economy is working its way out of the crisis step by step,” Ifo President Clemens Fuest said in a press release.

The Euro was last 0.08% firmer on the day against the US Dollar, with the EUR/USD currency pair trading at 1.0855.