German investor optimism rose to its highest in over a year in November due to strong orders, rising stock markets and a weaker euro, although views on current conditions remained gloomy, a survey showed today.
The ZEW institute's investor expectations indicator for Germany, a bellwether of sentiment ahead of the influential Ifo business climate index, rose for an 11th month, climbing by 6.9 points to 67.2.
The increase, which took the index to its highest level since July 2002, beat analysts' expectations for a reading of 65.0.
Recent evidence of a recovery in Germany has yet to impact analysts' assessment of current conditions, the ZEW said. Uncertainty about the labour market and the passage of economic reforms through parliament is weighing on sentiment, it said.
The institute's indicator gauging current conditions remained almost unchanged at minus 87.5 compared with minus 87.4 in October.
The expectations indicator for the euro zone climbed 5.3 points to 72.1 from 66.8 points in October.