The ZEW Indicator of Economic Sentiment for Germany rose by 6.7 points from the previous month to 3.1 in April 2019, easily beating market expectations of 0.8. It was the highest reading since March last year, on hopes that the global economic environment will develop less poorly than previously assumed. The postponement of the Brexit deadline may also have contributed to buoy the economic outlook. By contrast, the latest figures regarding incoming orders and industrial production in the German industry point to a rather weak economic development. Meanwhile, the assessment of the current economic situation dropped further by 5.6 points to 5.5 in April. Zew Economic Sentiment Index in Germany averaged 22.17 from 1991 until 2019, reaching an all time high of 89.60 in January of 2000 and a record low of -63.90 in July of 2008.
Zew Economic Sentiment Index in Germany is expected to be 1.00 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Zew Economic Sentiment Index in Germany to stand at 2.00 in 12 months time. In the long-term, the Germany Zew Economic Sentiment Index is projected to trend around -3.00 in 2020, according to our econometric models.