Hopes of an imminent recovery have lifted German consumer confidence for a sixth successive month, according to a new survey.
The consumer sentiment index compiled by GfK climbed from August's 4.6 to 5.0 in September, as Germans pinned their hopes on a rebound in the economy and a rise in their incomes over the coming months. This upturn in confidence is expected to continue, with October's reading forecast at 5.3.
However, GfK warned that improved sentiment will not translate into a change in consumer behaviour until there is clear evidence the economy is on the mend.
"For as long as there are no identifiable, positive signs from either the economy or the labour market, which will bring about a fundamental economic upturn, we are unlikely to see any dynamic consumer climate trends," the research group commented.
Data sourced from: The Wall Street Journal Online; additional content by WARC staff