German investor morale rises in February despite Russian tensions

Confidence among investors in Germany grew in February, according to figures published on Tuesday, in spite of rising tensions with Russia over Ukraine and lingering supply chain issues.
The ZEW institute’s monthly barometer measuring economic expectations climbed 2.6 points to 54.3 after rising sharply in January by 21.8 points. Investors assessment of the current economic situation also advanced slightly by 2.1 points to -8.1, despite recent disappointing growth figures.
“The economic outlook for Germany improved again in February despite growing economic and political uncertainty,” ZEW president Achim Wambach said in a statement. Grounds for positivity was the expectation amongst investors that “coronavirus-related restrictions would be relaxed”, allowing an economic recovery in the first half of 2022, Wambach said.

Under a draft government plan, seen by AFP earlier this week, Europe’s largest economy plans to end most restrictions in March, as new infection rates ease.
Investors also expected inflation to decline, though “more slowly and from a higher starting point” than previously anticipated, Wambach said.
Inflation in Germany slowed in January but remained elevated at...