Stock market professionals lowered their expectations of the economic upturn in Germany in October for the fifth month in a row.
The barometer for the stock exchange traders' assessment of the next six months fell by 4.2 points to 22.3 points.
This was announced by the Mannheim Center for European Economic Research (ZEW) on Tuesday for its monthly survey of 172 analysts and investors.
Economists polled by Reuters had only expected a decline to 24.0 points.
The situation was also assessed as worse, after having been continuously rated better between February and September 2021.
"The economic outlook for the German economy has deteriorated noticeably," said ZEW President Achim Wambach.
This is "mainly due to the continuing supply bottlenecks for raw materials and preliminary products".
As a result, the financial market experts expect a deterioration in the earnings situation, especially in the export-oriented sectors such as vehicle construction as well as the chemical and pharmaceutical industry.
"In addition, the lack of chips in vehicle construction and the scarcity of resources in construction put a strain on the building," said Wambach.
Material shortages and delivery bottlenecks
The export-dependent German industry has recently received fewer orders, throttled production and exported fewer.
Rising prices due to material shortages and delivery bottlenecks are currently preventing a stronger recovery and are putting a strain on business.
Economists therefore assume that the German economy has barely grown in the current fourth quarter.
"Despite these stress factors, there is no reason to bury your head in the sand," said VP Bank's chief economist, Thomas Gitzel.
"If the material flow gets going again, there will be a strong recovery in the industrial economy."Keywords: