German business sentiment surprised with a rise in November, breaking a six-month run of declines as companies in Europe’s largest economy turned slightly more optimistic about their current business and expectations despite the Eurozone crisis. The Munich-based Ifo think tank said Friday its business climate index, based on a monthly survey of about 7,000 firms, strengthened to 101.4 in November from 100 last month (two-and-a-half year low).
The median of 48 analyst estimates had called for a further decline to 99.5 points. Ifo’s measure of executives’ expectations rose to 95.2 from 93.2 in October, while a gauge of the current situation gained to 108.1 from 107.2. This afternoon at 1 pm CET, we await the publication of the German consumer confidence survey conducted by market research company GfK.