BERLIN: Analysts believe a key survey due this coming week will paint a gloomier outlook for the German economy, due to China’s slowdown and the continuing turbulence in Greece.
According to economists polled by The Wall Street Journal, the ZEW Economic Sentiment index–a monthly survey of about 350 German analysts and investors–is likely to show there is less confidence in the performance of the German economy over the next six months.
We expect that growing concerns about the situation in Greece and signs of a rapid slowdown in China will lead to a third successive fall in current conditions,” analysts at Citi Research said in a weekly note released Friday.
Nevertheless, international lenders voiced optimism Friday about the latest economic proposals coming from Athens. Greece submitted a plan Thursday, outlining budget cuts and reforms in exchange for a new bailout, which was well received by European officials.
