German investor confidence falls further in May: ZEW
Mixed signals on the US and Chinese economies might have undermined German investor confidence, the closely watched ZEW index showed on Tuesday.
The index fell to 3.1 points in May from 7.6 points in April, the third monthly drop in a row, a statement from the economic research institute said.
Analysts polled by Dow Jones had expected a slightly better reading of 3.5 points.
"In view of the strong growth of German GDP (gross domestic product) in the first quarter of this year, the financial market experts consider a further increase of the economic momentum to be unlikely," the ZEW statement said.
"Moreover, mixed signals regarding the state of the US economy as well as a weaker outlook for the Chinese economy might have dampened expectations," it added.
The index is now some way below its historic average of 26.5 points.
© 2011 AFP