BERLIN—German business morale worsened for the second consecutive month in June, a survey showed on Monday, indicating that Europe’s largest economy faces an uphill battle to shake off recession.
The Ifo institute said its business climate index fell to 88.5 this month from 91.5 in May. A Reuters poll of analysts had predicted a smaller drop to 90.7 in June.
“Sentiment in the German economy has clouded over noticeably,” Ifo’s president Clemens Fuest said.
China’s weaker than hoped for economic performance since its reopening from tight COVID-19 lockdowns, a looming U.S. recession, and ongoing monetary policy tightening seem to be weighing on German company sentiment, said Carsten Brzeski, global head of macro at ING….