German investor confidence rose this month, a widely watched survey shows today, as an ongoing fianancial crisis was not expected to trigger a downward spiral in the biggest European economy.
The ZEW economic institute's survey of analysts and institutional investors belied market expectations by gaining 2.1 points to stand at -39.5, it said in a statement. Analysts had expected the index to fall to -43.5 points.
'The banks are currently in the doldrums, but the financial experts expect that the worst will be over in six months,' ZEW president Wolfgang Franz was quoted as saying.
The ZEW survey of 314 financial analysts and institutional investors gives an indication of the sector's current and medium-term expectations for economic activity and capital markets. A negative result indicates that those polled expected growth to slow down.
For the 15-nation euro zone, economic expectations improved to an indexed -41.4 points, the survey found, while the indicator for the current economic situation plunged by 26 points, though it remained in positive territory at 21.8 points.
