• Germany edition
 
Consumer confidence edges up slightly
Photo: DPA

Consumer confidence edges up slightly

Published: 29 Jan 2013 11:04 GMT+01:00
Updated: 29 Jan 2013 11:04 GMT+01:00

Market research company GfK said its household confidence index was forecast to inch upwards to 5.8 points in February from 5.7 points in January, a statement said.

"It is the first time in three months since the index has gained slightly in value," GfK said.

The January figure was revised upwards from an original reading of 5.6 points.

GfK said that both consumers' income expectations and their willingness to spend picked up sharply and their economic expectations were also on the rise.

"The current calm on the financial markets is making Germans more confident at the start of this year," the statement said. "Despite a difficult fourth quarter, consumers expect the economy to pick up again during the course of the year."

The headline consumer confidence reading is based on responses from about 2,000 households on their expectations about pay and the economy as a whole in the coming months, as well as their willingness to spend money.

Other recent confidence indicators - such as the ZEW investor confidence index and the Ifo business climate index - have risen sharply recently on hopes that Europe's top economy will bounce back from a dip in growth at the end of last year and boost prospects for the eurozone as a whole.

"German consumers have taken some comfort from the latest calm on financial markets, as well as the improvement in business confidence," said ING Belgium economist Carsten Brzeski.

"If the latest improvement of business confidence really leads to the expected rebound of the economy, the labour market should remain almost unharmed, boding well for private consumption this year," the expert said.

The GfK reading "is another small piece of evidence that domestic demand should be an important growth driver in 2013," Brzeski concluded.

Annalisa Piazza at Newedge Strategy agreed. The rise in the GfK index "confirms the recent resilience in confidence," she said.

"Recent business confidence indicators support the idea of a modest recovery in activity in early 2013, most likely in the second quarter. Today's Gfk survey confirmed the relatively rosy picture for business expectations," she said.

AFP/mry

The Local (news@thelocal.de)

Your comments about this article

10:27 January 30, 2013 by Berlin fuer alles
Consumer confidence edges up slightly.

No it doesn't. They just got their facts marginally wrong in the first place. Confidence is still down.

Send some journalists to journalism school TL or at least write a proper translation of the original article.
Today's headlines
The Local List
Eight expat groups to save you in Germany
Photo: Jan Perlich/Munich RFC

Eight expat groups to save you in Germany

Think you're the only English speaker in your town or region? Think again! The Local List this week runs through eight of the best expat groups and clubs in Germany. READ  

Victims of GDR regime get benefit boost
Former GDR political prisoners Hartmut (l) and Gerda Stachowitz in a East Berlin prison which has stood empty for 20 years. Photo: DPA

Victims of GDR regime get benefit boost

Benefit payments to former political prisoners of ex-communist East Germany (GDR) will be raised to send an "important message" 25 years after the fall of the Berlin Wall, the government said on Wednesday. READ  

Cabinet agrees cap on city rent rises
Apartments in Leipzig. Photo: DPA

Cabinet agrees cap on city rent rises

Germany's cabinet agreed on Wednesday to cap ballooning property rents in high-demand urban neighbourhoods in a law set to come into force early next year. READ  

Berlin flights disrupted by WWII bomb find
Passengers are delayed at Tegel Airport. Photo: DPA

Berlin flights disrupted by WWII bomb find

UPDATE: The discovery of a US World War II bomb disrupted flights at Berlin’s Tegel Airport on Wednesday afternoon, with no flights taking off or landing for 30 minutes. The bomb has now been defused but later flights are still delayed. READ  

Refugee abuse guards 'nicknamed the SS'
A photo allegedly showing guards abusing one refugee. Photo: DPA/Police

Refugee abuse guards 'nicknamed the SS'

A group of guards who allegedly abused refugees in an asylum centre in western Germany were nicknamed “the SS” after Hitler's stormtroopers, according to one of their colleagues. Photos of guards abusing refugees have sparked a backlash in Germany against security firms. READ  

Nestle wins the food prize no one wants
First prize went to Nestle for its sugary baby food. Photo: Foodwatch

Nestle wins the food prize no one wants

A food watchdog presented Nestle with a prize to avoid on Wednesday for the cheekiest false advertising of the year. The runner-up was a chicken soup with no chicken in a vote of almost 160,000 Germans. READ  

Merkel's VIP jet set to fly soldiers home
One of the two A340 planes which are reserved for the Chancellor and government leaders. Photo: DPA

Merkel's VIP jet set to fly soldiers home

One of Chancellor Angela Merkel’s VIP jets is set to be used to ferry soldiers home who are stuck in Afghanistan, due to ongoing problems with the German military’s transport planes. READ  

German firms top EU lobbying list
Siemens was the highest ranked German company when it came to spending on EU lobbying, according to the register. Photo: DPA

German firms top EU lobbying list

Germany companies are among the biggest spenders when it comes to EU lobbying to influence decision makers in Brussels. There are more German lobbying organizations registered than from any other country in Europe but Belgium. READ  

City starts beer for alcoholics project
Photo: DPA

City starts beer for alcoholics project

A city in western Germany will start a controversial project on Wednesday to employ alcohol and drug addicts to clean the streets in return for beer, tobacco, food and small amounts of cash. READ  

Fault forces Germany to cut Eurofighters
A German Eurofighter. Photo: DPA

Fault forces Germany to cut Eurofighters

A manufacturing fault has been discovered in the troubled Eurofighter Typhoon warplanes, Germany's defence ministry said on Tuesday, announcing it was suspending deliveries of the sophisticated jets. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
Munich
Bavarian independence becomes a reality... (online)
Photo: DPA/Police
National
'Criminals are at work in refugee homes'
Photo: DPA
Business & Money
Immigrants have created how many German jobs?
Photo: DPA
National
Revealed: Germany's military feet of clay
Marks & Spencer
Sponsored Article
Marks and Spencer: Win €300 toward your new autumn wardrobe
Photo: Shutterstock
Society
Quiz: How good is your German?
Photo: DPA
Gallery
Thousands take to Berlin's streets for marathon
Photo: DPA
Society
'Incest should be legal,' says ethics board
Photo: DPA
Gallery
Ten noises that sound very different in German
Photo: DPA
Society
QUIZ: Can you pass the German citizenship test?
Photo: Shutterstock
Gallery
Ten German words you'll never want to hear again
Photo: DPA
Business & Money
JobTalk: All you need to know about working in Germany
National
Share news tips with The Local Germany
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Latest news from The Local in Sweden

More news from Sweden at thelocal.se

3,183
jobs available
Toytown Germany
Germany's English-speaking crowd