German Consumer Confidence Falters as Outlook for Growth and Inflation Deteriorates

Consumer confidence in Germany fell for the first time in seven-months as households face fading demands for employment paired with fears of a deepening recession. The GfK index slipped to 2.4 in April from a revised reading of 2.5 in the previous month, and the data reinforces a weakening outlook for the region as households and businesses turn increasingly pessimistic towards the economy. As Europe’s largest economy heads into a deepening recession, the European Central Bank is expected to ease policy further as the outlook for growth and inflation falters.