German investor confidence stabilises in December: ZEW
German investor confidence stabilised in December on positive sentiment about the outcome of last week's EU summit, the ZEW indicator showed on Tuesday.
The closely watched ZEW economic expectations index confounded analysts' forecasts by rising 1.4 points to stand at minus 53.8 points, the ZEW think tank said in a statement.
Analysts had been pencilling in a further decline after the index fell 6.9 points to minus 55.2 points in November, its lowest level in three years.
Nevertheless, it remains far below the indicator's historical average of 24.6 points.
"Economic expectations seem to have bottomed out," said ZEW chief Wolfgang Franz.
"Financial analysts are clearly expecting low growth, but not a crash of the German economy in the next six months," he said.
"The decisions taken at the latest EU summit will have had a positive effect on sentiment. Pending the finalisation of the actual details, the decisions mark an important step towards creating a functioning framework for monetary union," Franz said.
© 2011 AFP