German investor sentiment improves more than expected in July - ZEW

(Sharecast News) - German investor sentiment improved more than expected in July, according to a survey released on Tuesday by the ZEW Center for European Economic Research in Mannheim. The economic sentiment index rose to 52.7 from 47.5 in June, coming in above expectations for a reading of 50.3.

The index for the current economic situation rose to -59.5 in July from -72 a month earlier.

ZEW President Achim Wambach said: "After the strong improvements of the past two months, the positive sentiment among respondents is becoming more firmly established. Despite ongoing uncertainty due to global trade conflicts, nearly two-thirds of the experts expect the German economy to improve.

"Hopes for a quick resolution to the US-EU tariff dispute, along with potential economic stimulus from the German government's planned immediate investment programme, appear to be shaping overall sentiment.

"The increased optimism is particularly reflected in significantly improved expectations for mechanical engineering and metal production, followed by the electrical industry."