Consumer sentiment in Germany appeared to be still riding high at the end of the year according to research institute GfK.
Both economic and income expectations rose, although consumers' propensity to spend dipped slightly but maintained a high level.
- In its forecast for January, GfK expects an increase in the consumer climate to 10.8 points, up from the 10.7 of December.
- Economic expectations continued to improve, and the indicator rose 0.9 points to 45.2 - its highest level since July 2014.
- Income expectations overcame a brief dip in the forecast for December and after three losses in a row, rose 6.4 points to 54.3.
- The propensity to buy indicator maintained high levels but dipped 1.4 points to 57.1.
GfK commented on the figures: "These are excellent conditions for an overall successful consumer year in 2018.
"Domestic economic activity will continue to be an important pillar of overall financial development.
"The current trend also indicates that the failed attempts to form a "Jamaica" coalition in November did not have a negative effect on consumer mood."
Chart courtesy of Pantheon Macroeconomics