The German ZEW Business Sentiment Index rose by around 25 points in the March survey to 51.6, its highest level since January 2023, bettering expectations of 48.1. The index rose in March despite a stable assessment of the current economic situation, while the expectations index rose by 0.9 points to minus 87.6.
The improvement in the eurozone’s economic expectations index and the rise in the overall index are attributed to positive indicators regarding future German fiscal policy, such as the agreement on a multi-billion dollar financial package, improvements in the metals and steel manufacturing sectors, and the European Central Bank’s sixth consecutive interest rate cut.
Conversely, the eurozone index rose to 39.8, up from 24.2 in February, while expectations were for growth of around 43.6. The current situation remained stable and the expectations index improved.
19/03/2025
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