Deutsche Bank: Germany's commercial pessimism points to economic stagnation

On August 26th, Jinshi Data reported that Ralph Solveen, economist at Deutsche Bank, stated in a report that the pessimism of German companies heralds a bad omen. The IFO survey, which has been closely followed, showed a further decline in confidence this month, continuing the persistent weakness that began earlier this year. Solveen said that companies are more pessimistic about the current economic situation and the prospects for the next few months, which seems to be due to the heavy burden of interest rates and the structural drag of the eurozone’s largest economy. He said, ‘The combination of these unfavorable factors indicates that the German economy will hardly rise in the second half of this year, at most it will stagnate for the whole year.’