German business confidence declines as market troubles take toll

0 Comments | AFP, August, 2007

BERLIN (AFP) — Business confidence in Germany slipped again in August, but its decline was smaller than feared by analysts, according to a widely-watched index by the Ifo economic research institute published Tuesday.

The Munich-based institute said the index had fallen to 105.8 points from 106.4 points in July. Analysts polled by Thomson Financial News had forecast 105.3 points in August.

Ifo said turbulence on global financial markets had clouded executives' mood although they were generally optimistic about the economic upswing in Germany.

"The outlook for the coming six months is still marked by optimism, albeit somewhat weaker. The turbulence in the financial markets may have played a role here," Ifo president Hans-Werner Sinn said in a statement....