Key German business confidence indicator rebounds after unexpected fall in October

BERLIN – A key measure of German business confidence rebounded in November after a surprise decline the month before, indicating optimism remains in Europe’s biggest economy despite a sputtering recovery on the continent.

The Ifo index of business confidence, published Friday, rose to 109.3 points in November from 107.4 in the previous month. October’s figure marked the first decline after five months of increases.

The November figures suggest Germany’s business community remains hopeful over the next six months even though recovery in the 17 countries that share the euro currency is rocky.

Meanwhile, the Federal Statistics Office confirmed the German economy grew by 0.3 per cent in the third quarter. Analysts say growth, which was down from 0.7 per cent in the spring, was due largely to government spending.