German Business Confidence Improved More Than Expected

A survey showed that German business confidence improved better than expected in August, boosting hopes that companies in the largest European economy are recovering from the coronavirus shock.

The IFO said its business climate index rose to 92.6 from a revised level of 90.4 in July. This is the fourth consecutive monthly increase and surpasses economists’ expectations of 92.2.

“The German economy is on the road to recovery,” said the head of the institute, Clemens Fuest, adding that companies are assessing the current conditions of their business in a much more optimistic manner than they were in the previous month.