Germany starts with strong tailwinds into the new year
05 January 2015
Posted in
sentix Economic News
In January, the most outstanding development in the survey of the sentix Economic Index is the, once more, strongly improved perception of the German economy. The composite index for Germany rises by 7.0 to 26.6 points and now stands at about the same level as last summer. Low oil prices and a weak euro continue to have an effect. In addition, the export champion benefits from better assessments of the world economy which are, among other things, driven by developments of the US and the Asia ex Japan indices.
In contrast, investors judge – against the background of falling oil prices – the economic situations in Eastern Eu-rope and Latin America ever worse. But interestingly, 6-month expectations for these regions are on the rise. All in all, investors are rather optimistic regarding economic dynamics in 2015.
Headlines of the month
- In January, the German composite index increases in an especially strong manner. It rises by 7.0 to 26.6 points and thus to its highest reading since last July.
- The much better assessment on the Germany economy also has an impact on the euro area. The euro-zone composite index improves by 3.4 to +0.9 points. Consequently, the signal for an upturn observed last month is now confirmed!
- Furthermore, the increase of the US composite index is worth of note. It rises by 2.0 to now 31.4 points, its highest level since December 2003! The positive developments in the euro zone and the US also make the composite index for the global aggregate rise again.
