Forecasts

Germany – Early Bird is flying high

Our leading indicator for the German economy continued to rise in February. At 49 points, it is now at a level that has usually been followed by quite strong economic growth in the past. The main driver of the increase remains the ECB's interest rate cuts, but the global economic environment has also improved somewhat in recent months. This augurs well for the German economy which will pick up speed in the coming months. However, the upward trend is likely to be restrained in view of the threat of a tariff conflict with the US and the structural problems of the German economy.