German investor optimism surged to its highest level since mid-2021 as a spending push by the government helps pull the struggling manufacturing sector out of a malaise. An expectations index by the ZEW institute increased to 59.6 in January from 45.8 the previous month. Analysts had anticipated a gain to 50. A measure of current conditions also improved more than expected. “2026 could mark a turn...
German investor optimism surged to its highest level since mid-2021 as a spending push by the government helps pull the struggling manufacturing sector out of a malaise. An expectations index by the ZEW institute increased to 59.6 in January from 45.8 the previous month. Analysts had anticipated a gain to 50. A measure of current conditions also improved more than expected. “2026 could mark a turning point,” ZEW President Achim Wambach said Tuesday in a statement. “However, despite the positive economic sentiment, work should continue to strengthen the attractiveness of the location in order to enable sustainable growth.” Europe’s biggest economy grew 0.2% in the final quarter of last year and analysts expect a further pickup in 2026 thanks to hundreds of billions of euros in fiscal stimulus. Industrial data from November signaled the money earmarked by Chancellor Friedrich Merz ’s administration is starting to filter through . The main aim is to update aging infrastructure and improve business conditions, while shoring up defense capabilities after years of neglect and waning support from the US. The push became necessary after two years of shrinking output and the realization that Germany’s business model has been fundamentally challenged by Chinese competition and Donald Trump ’s tariffs. The latest tensions over Greenland, including Trump’s threats to impose additional levies, cast fresh doubt over how strongly Germany will be able to recover, however. ZEW said 172 analysts and institutional investors participated in its survey, which began about a week before the standoff and closed on Monday. European Union officials have discussed tariffs on €93 billion ($108 billion) of American goods if the US doesn’t back down, with some even calling to unleash even stronger countermeasures. Merz Aims to Rein In Macron on EU Response to Trump’s Threat German Economy Grows for First Year Since 2022 on Spending German Factory Orders Jump Most in a Year in Recovery Sign
Both Abbott Laboratories and Intuitive Surgical report fourth-quarter results in late January—and both companies offer investors multiple reasons to be bullish.
Both Abbott Laboratories and Intuitive Surgical report fourth-quarter results in late January—and both companies offer investors multiple reasons to be bullish.