BERLIN, Oct 25 - Morale among German businesses edged up for the first time in six months in October, a leading survey showed on Wednesday, but their mood remained subdued and economists say a second recession inside a year still seems likely.
Ifo president Clemens Fuest said Wednesday's reading showed the economy, which shrank in the last quarter of 2022 and the first quarter of 2023,"can see a silver lining ahead.""It's difficult to see a ray of hope," said Alexander Krueger, chief economist at Hauck Aufhaeuser Lampe Privatbank, forecasting a recession in the second half of the year.
Joerg Kraemer, chief economist at Commerzbank, also suggested a recession was on the cards, with the low level of the Ifo index pointing to a second half contraction. 'WORSE PICTURE THAN PMI' Sentiment among German managers improved in manufacturing, services and construction, while it declined in trade, the Ifo survey showed.
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