Press Release

Contact:
Gunter Grittmann Felix Kretz
Phone +49 (0)621-1235-132, Fax -255 Phone +49 (0)621-1235-103, Fax -255
E-mail gunter.grittmann@zew.de E-mail felix.kretz@zew.de

ZEW Indicator of Economic Sentiment for Germany

-21.1 points (-19.0 vs. previous month)

ZEW Indicator of Economic Sentiment for the

Eurozone

-20.2 points (-18.6 vs. previous month)

Assessment of the Current Situation in Germany

+7.8 points (-0.4 vs. previous month)

Assessment of the Current Situation in the

Eurozone

-3.7 points (+3.3 vs. previous month)

43/2019 18 June 2019

ZEW Indicator of Economic Sentiment

Strong Decline in Economic Sentiment

The ZEW Indicator of Economic Sentiment for Germany
decreased sharply in June 2019, and now stands at minus
21.1 points. This corresponds to a drop of 19.0 points
compared to the previous month. The indicator’s long-term
average is 22.0 points.
Over the same period, the assessment of the economic
situation in Germany slightly worsened by 0.4 points, with
the corresponding indicator falling to a current reading of 7.8
points. The economic outlook for Germany is therefore
similarly negative as it was in the last quarter of 2018.
“The sharp drop in the ZEW Indicator of Economic Sentiment
coincides with an increased uncertainty regarding the future
development of the global economy and substantially
worsened figures for the German economy at the beginning
of the second quarter. The intensification of the conflict
between the USA and China, the increased risk of a military
conflict in the Middle East and the higher probability of a no-
deal Brexit are all casting a shade on the global economic
outlook. On top of this, German industry has been reporting
worse than expected figures for production, exports and
retail sales for April,” comments ZEW President Professor
Achim Wambach.
The financial market experts’ sentiment concerning the
economic development of the eurozone also experienced a
significant drop, with the corresponding indicator currently
standing at minus 20.2 points, 18.6 points below the
reading from the previous month. By contrast, the indicator
for the current economic situation in the eurozone climbed
3.3 points to a level of minus 3.7 points in June.

For more information please contact:

Frank Brückbauer, Phone +49 (0)621-1235-148, E-mail frank.brueckbauer@zew.de
Dr. Jesper Riedler, Phone +49 (0)621-1235-311, E-mail jesper.riedler@zew.de
Dr. Michael Schröder, Phone +49 (0)621-1235-368, E-mail michael.schroeder@zew.de
 100 ZEW Indicator of Economic Sentiment
(Germany)
80
60
40
20
0
-20
-40
-60
-80
-100
Source: ZEW – Leibniz Centre for European Economic Research

192 analysts participated in the June 2019 ZEW Financial Market Survey, which was conducted in the period
6–17 June 2019. The analysts were surveyed regarding their mid-term expectations concerning economic
development and capital market trends. The ZEW Indicator of Economic Sentiment is the balance between
positive and negative expectations of the future economic development in Germany over a timeframe of
six months.

ZEW – Leibniz Centre for European Economic Research

ZEW in Mannheim conducts research in the field of applied and policy-oriented economics and provides
access to important data sets for national and international researchers. The institute provides advice to
policymakers, private companies and government institutions at both the national and EU level on how to
tackle current economic policy challenges. The central concern of ZEW’s research is to analyse and design
markets and institutions that allow for the sustainable and efficient development of knowledge-based
economies in Europe. By keeping the public informed on its latest research and providing further training
to researchers and business leaders alike, ZEW acts as a guide through economic change. ZEW was
founded in 1991 and employs a staff of approximately 180, two thirds of whom are researchers. ZEW is a
member of the Leibniz Association, a network of outstanding research institutes in Germany.

Research at ZEW:
Labour Markets and Human Resources; Digital Economy; Economics of Innovation and Industrial
Dynamics; International Finance and Financial Management; Social Policy and Redistribution;
Environmental and Resource Economics, Environmental Management; Corporate Taxation and Public
Finance; Market Design.

www.zew.de / www.zew.eu