Deutsche Bank expects recession for Germany

8 February, 2019 12:00 AM printer

BERLIN: Deutsche Bank expects the German economy to contract this quarter after recent business surveys pointed to souring moods at companies and their worsening expectations for new orders.

“The start of the German economy into 2019 has been a major disappointment so far,” Deutsche Bank economists including Sebastian Becker wrote in a report on Tuesday, report agencies.

“The development of several key cyclical indicators is telling us that the German economy is drifting towards recession right now.”

The warning from Germany’s biggest bank comes just days after Bundesbank President Jens Weidmann said economic weakness carried into 2019 and will result in significantly lower growth than predicted just a few weeks ago.