German business sentiment worsened again in November, as supply bottlenecks and the rise in coronavirus cases clouded the short-term outlook. The Ifo business-climate index decreased to 96.5 points in November from 97.7 points in October, data from the Ifo Institute showed Wednesday. This is the fifth consecutive decrease of the indicator after it peaked at 101.8 in June.
The reading is slightly above a consensus forecast from economists polled by The Wall Street Journal, who had expected the index to decrease to 96.4. In November, companies were less satisfied with their current business and they were also more skeptical about the coming months, Ifo said. The business-expectations component fell to 94.2 in November from 95.4 in October. The measurement that gauges companies’ current business situation also declined, falling to 99.0 from 100.2 the previous month. The Ifo index is based on a poll of about 9,000 companies in manufacturing, services, trade and construction. Write to Maria Martinez at [email protected]