German Consumer Sentiment Rose in February for Fourth Month in a Row
February 06 2023 - 05:03AM
Dow Jones News
By Ed Frankl
German consumer sentiment improved for the fourth month in a
row, as consumers grow more confident about the economy and their
income, according to February figures from German retail
The HDE said its consumer barometer jumped to 91.93 in February
from 88.54 in January, though despite the increase, sentiment
hasn't returned to the level it was prior to Russia's invasion of
The results come after the German economy ministry in January
revised up its GDP forecast for 2023, expecting an expansion of
0.2%, from a 0.4% decline under previous forecasts.
"The renewed and significant brightening of consumer sentiment
increases the likelihood that the overall economic situation could
improve towards the summer as expected, and that private
consumption will be one of the central pillars of the economic
recovery," the HDE said.
However, with falling real wages due to inflation, it remains
uncertain whether increased income will stimulate consumption, the
The HDE also flagged that, amid high energy prices, consumers'
propensity to save is also increasing, and that the scope of
consumers' disposable income will be decisive for an upturn in
private consumption in the coming months.
Write to Ed Frankl at email@example.com
(END) Dow Jones Newswires
February 06, 2023 04:48 ET (09:48 GMT)
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