- Prior -24.7; revised to -24.8
Not much of a surprise there as German consumer sentiment deteriorated heading into April, largely due to concerns on higher energy prices. That as the Middle East conflict continues to drag on for longer, set to stretch into its fourth week soon. Households look to be bracing for higher prices at the pump and spillovers to other areas, with added concerns about the economic recovery in general.
The economic expectations index dipped back into negative territory, down to -6.9 from 4.3 in March. That is the lowest reading since December 2022. Adding to that, consumer income expectations also plunged to -6.3 from 6.3 in the month before. That as fears creep in on impacting household buying power.
GfK notes that:
"In a recent NIM study, 60% of Germans state that they expect prices for oil, gas and petrol to remain high in the long-term. This naturally has a negative impact on consumers' mood."
