Central Banks

German Investor Confidence Plummets After Spate of Bad News

  • ZEW expectations index drops to 3.6 in September; est. 17
  • Hope for swift economic improvement is fading, Wambach says

Volkswagen announced it would end a decades-old labor pact and consider closing domestic factories.

Photographer: Krisztian Bocsi/Bloomberg
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Investor confidence in Germany’s economy plunged to its lowest level in almost a year after further signs that the country’s manufacturing giants face an increasingly uncertain future.

The surprisingly quick deterioration in sentiment is the latest evidence of a souring outlook, arriving just after Intel Corp. said it plans to postpone a planned factory by about two years.