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- Germany’s ZEW: A recession is becoming more and more likely
Germany’s ZEW: A recession is becoming more and more likely
Following the economic sentiment data, Germany’s ZEW expresses its take on the economy, in light of the Russia-Ukraine war.
Key takeaways
A recession is becoming more and more likely.
The war in Ukraine and the sanctions against Russia are significantly dampening the economic outlook for Germany.
Collapsing economic expectations are accompanied by an extreme rise in inflation expectations.
Experts, therefore, expect stagflation in the coming months.
Worsened outlook affects practically all sectors of the German economy, but especially the energy-intensive sectors and the financial sector.
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EUR/USD has the 1.1040 mark in its crosshairs
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