German economic sentiment declined sharply in July as signs of economic recovery faded, survey data from the ifo Institute showed on Thursday.
The ifo Business Climate Index fell unexpectedly to a five-month low of 87.0 in July from 88.6 in June. The reading was seen at 88.9.
The survey showed that companies were less satisfied with the current business situation and their skepticism regarding the coming months increased considerably.
“The German economy is stuck in crisis,” ifo Institute President Clemens Fuest said.
The current situation index posted 87.1 in July, down from 88.3 in June. The reading was expected to rise to 88.5.
Likewise,…