Germany: Stronger than expected business confidence - BBH

Analysts at BBH note that Germany reported stronger than expected business confidence in the form of the February IFO survey. 

Key Quotes

“The assessment of the overall climate improved to 111.0 from 109.9.  This was a reflection of improved expectations (104.0 vs. 103.2) and improved assessment of current conditions (118.4 vs. 116.9).  Low German interest rates, a euro that serves as frosting on an already competitive cake, the DAX that is up 4.3% so far this year (the most among the large European bourses), coupled with a government that is tilted toward the right to blunt the appeal of the AfD, may encourage the confidence.”