FRANKFURT, Germany (AP) — An index of German business optimism fell in April as Europe's largest economy struggles with a slowdown in trade but is supported by a strong labor market.
The Ifo institute said Wednesday its business climate index slipped to 99.2 points from 99.7 points in March, indicating managers were less satisfied with both the current situation and the outlook for the future.
German's economy endured flat growth at the end of last year despite low unemployment that has helped keep consumers spending. The slowdown was blamed on one-time factors such as troubles in the auto industry over new emissions standards and low river levels that disrupted production. Slowing global trade has held back export-oriented manufacturing.
The government on April 17 cut its growth forecast for the full year to 0.5 percent.