The mood among German companies in Germany deteriorated further in September 2024. The Ifo business climate index fell from 86.6 to 85.4 points in the month. The index fell for the fourth time in a row. In the manufacturing sector in particular, the index has reached a low since June 2020, accompanied by pessimistic expectations and an increased lack of orders. As a result, the industry gets into difficulties and economic pressure increases.
In the services sector, business sentiment also fell, with a worsening assessment of the current situation, although expectations were less gloomy. The mood in tourism and the hospitality industry developed positively. In trade, both the assessment of the situation and future prospects deteriorated. There is a bright spot in the construction industry, where the index rose slightly due to less negative expectations, although satisfaction with ongoing projects decreased.
