The IFO business climate index for Germany held steady in January at 87.6, unchanged from December and below market expectations of a rise to 88.3. The index, which surveys nearly 9,000 German companies, remains at its lowest level since May of last year, indicating a weak start to the new year for the German economy.

Specifically, the current situation index rose to 85.7 from 85.6 in December, while the expectations index fell to 89.5 from 89.7 in December.

At the sector level, the manufacturing index fell to -12.2 from -14.6 in December, the services index dropped to -2.6 from -2.1, and the construction index declined to -14.2 from -14.9.