Germany’s economy is still on course for a second-half upturn, despite a slip in corporate confidence this month, according to the Ifo research institute.

The group’s barometer of business sentiment edged down from 91.6 in May to 91.3, confounding expectations of a rise to 92.

However, economist Gernot Nerb insisted the fall does not affect predictions of an upswing in the latter part of the year. “We have seen similar volatility in other recoveries,” he declared.

The expected rebound is likely to be led by manufacturing exports. Indeed, sentiment in the manufacturing sector improved this month, whereas weakness in the wholesale, retail-trade and construction industries pulled down the overall index.

Data sourced from: The Wall Street Journal Online; additional content by WARC staff