Europe financial markets fall thanks to German economic data which rises concern among investors about global growth. The news according to the Ifo Business Climate Index for German industry said that “trade continued to fall in September, marking its fifth successive decline.
The companies surveyed are again less satisfied with their current business situation. They also expressed greater pessimism about the future. The curbing forces on the German economy continue to prevail”
Of all sector surveyed, manufacturing and industry has been the worse performer since 2011 in business situation, it also has the lower expectations and is the most pessimist about the future.
The Ifo Business Climate Index is based on ca. 7,000 monthly survey responses from firms in manufacturing, construction, wholesaling and retailing. The firms are asked to give their assessments of the current business situation and their expectations for the next six months. They can characterise their situation as “good”, “satisfactory” or “poor” and their business expectations for the next six months as “more favourable”, “unchanged” or “more unfavorable”.
Wall Street will most probably follow, at the open it was down more than 25 point. Today the financial market most probably will be subdue without any major announcement.