The ifo business climate index for Germany has declined slightly through the month of May, from 108.6 to 108.5bsp, according to the latest data provided by Munich-based ifo institute.
The index, which is based on reports from 2500 businesses across Germany revealed that following a six month growth period of confidence in the manufacturing sector, the forecasts now showed first signs of a slowdown, due to revised export forecasts. At the same time, the assessment of the current situation in manufacturing reached the highest level in 2015.
For the wholesale sector, both the current business climate and forecasts deteriorated from 12.7 to 9.8 bsp compared to the previous month.
Confidence in the service sector on the other hand showed signs of recovery, with move the assessment of the climate and the outlook improving from 22.9 to 25.8 and from 11.0 to 14.9 bsp respectively.