German Consumer Confidence Rises for Third Month in August
German August GfK consumer confidence unexpectedly jumped to 3.5 from an upwardly revised 3.0 (previously 2.9) in July. This was the third month of improvement. The breakdown, which is only available until July, showed that confidence increased across the board, with the reading for the economic outlook jumping to -14.0 from -22.6 and the reading for the willingness to buy rising to 25.1 from 14.5 in the previous month. Even the reading for income expectations improved, despite rising unemployment. Lower energy prices and improved business confidence are likely to play a role, but the rise in consumer confidence yet has to translate into higher retail sales.