GERMANY: Ifo business climate index continues to rise in April

The Ifo Business Climate Index for German trade and industry rose to 108.6 points in April from 107.9 points last month as the assessments of the current business situation once again improved considerably, the Munich-based research institute said. Optimistic assessments of the business outlook, however, were scaled back slightly, but the upswing in the German economy continues, the Ifo said.

In manufacturing, the climate indicator rose for the sixth consecutive month. Manufacturers assessed their current business situation more favourably than last month, but expressed slightly less optimism about future business developments. Capacity utilisation edged downwards to 84.4 percent, putting it one percentage point above the long-term average.
In wholesaling, the business climate indicator rose to its highest level in almost a year. This was due to far more optimistic business expectations. Very good assessments of the current business situation, by contrast, were scaled back somewhat. In retailing the business climate cooled down slightly. Assessments of the current business situation were less favourable. Retailers are also a little less confident about future business developments.
The business climate index in construction rose this month after six consecutive decreases. Contractors are markedly more satisfied with their current business situation. The short-term business outlook also brightened somewhat.