Germany's economic sentiment drops in December

By Ovunc Kutlu

ANKARA (AA) - Germany's economic sentiment dropped to 29.9 in December, according to a Mannheim-based economic research institute on Tuesday.

While the market expectation for the economic sentiment was 25.3, it declined from 31.7 recorded in November, the Leibniz Centre for European Economic Research (ZEW) said.

The figure turned negative for the first time since June.

"The German economy is suffering noticeably from the latest developments in the COVID-19 pandemic. Persisting supply bottlenecks are weighing on production and retail trade," ZEW President Achim Wambach said in a statement.

"The decline in economic expectations shows that hopes for much stronger growth in the next six months are fading. Especially the earnings expectations of export-oriented and consumer-related industries are assessed more negatively," he added.