Deutschland ZEW-Konjunkturerwartungen

The ZEW Indicator of Economic Sentiment for Germany surged by 39.2 points to 25.2 in May 2025, rebounding sharply from a near two-year low of -14.0 in April and far surpassing market expectations of 11.9. The survey indicates growing optimism for the next six months, driven by the formation of a new federal government, progress in resolving tariff disputes, and signs of stabilizing inflation. Nearly all sectors reported improved sentiment in May. The outlook is particularly bright for the banking sector, as well as for export-oriented industries such as automotive, chemicals, metals, machinery, and steel. The recent interest rate cut by the European Central Bank—and expectations of further easing—are seen as especially supportive for a recovery in the construction sector. Respondents also anticipate a rebound in domestic demand, which has been sluggish in recent months. Meanwhile, Germany’s current economic assessment held steady at a low level, dipping 0.8 points to -82.0.