The ZEW Business Sentiment Index for Germany fell by 6.6 points in October to 28.1, compared to a rise of 34.7 in September. This was below expectations of a rise to 30.2. The slowdown in the index in October occurred despite an improvement in the assessment of the current economic situation in Germany, which reached -35.9, an increase of 11.0 points from September.

At the sector level, indicators showed mixed performance in October. The banking and insurance sectors recorded significant declines of 18.4 and 9 points, respectively. The services sector also contracted, falling by 6.8 points compared to September.

In contrast, the index for the Eurozone fell by 7.3 points to 18.5, while expectations were for a rise of around 23.6. The current situation assessment index remained in negative territory at -14.8, 0.9 points lower than the September reading.