(Finance) – German consumer confidence worsened sharply in February. The GFK index, based on the survey conducted this month, shows a value of -29.7 points, compared to -25.4 in January (data revised from a preliminary of -25.1). The reading is worse than expectations of analysts, who were for a sentiment level of -24.5 points.
Expectations are improving economic situation, with the indicator falling by 6.29 points to -6.6. The indicator also drops propensity to purchase, which goes to -14.8 points (-8.8). The one on expectations of income drops by 13.1 points and stands at -6.9 points.
“The reason for the sharp decline in consumer confidence also lies in the notable increase in the propensity to save,” he explains the GFK expert Rolf Burkladding “the improvement in consumer confidence seen last month was only a brief burst before Christmas. If there were any hopes of a lasting recovery in confidence, they were once again dashed in January. Consumer sentiment has suffered a serious setback.”