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German Q1 GDP growth confirmed at 0.3%; GfK index rebounds
(Sharecast News) - The German economy grew by 0.3% in the first quarter of 2026 compared with the previous three months, according to official data published on Friday, confirming a flash estimate. In a separate release, consumer sentiment in Europe's largest economy recovered heading into June, as households' income expectations improved, according to a widely-read survey.
The GfK/Nuremberg Institute for Market Decisions consumer sentiment index rose to -29.8 points for June from a revised -33.1 points in May.
"Consumer Climate has, at least for the moment, ended its downward trend and is recovering somewhat this month," said NIM's head of consumer climate Rolf Buerkl.
Income expectations, which plunged when the US started its war in Iran, rebounded from April, with the indicator at -13.0 points, up from -24.4 points.
"The negative impact of the conflict in the Middle East remains largely unchanged and is still visible in the consumer climate," Buerkl added.
"Since the conflict in the Middle East has not escalated further so far, some of the geopolitical uncertainty appears to have been factored into consumer expectations. At the same time, political signals point to possible relief measures. This is likely to have contributed to the improvement in private households' income expectations."
Reporting by Frank Prenesti for Sharecast.com
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