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German investor morale worsens on coronavirus fears - ZEW

BERLIN, Feb 18 (Reuters) - The mood among German investors deteriorated far more than expected in February on worries that the coronavirus outbreak that started in China would dampen world trade, a survey showed on Tuesday.

The ZEW research institute said its monthly survey showed economic sentiment among investors fell to 8.7 from 26.7 in January. Economists had expected a drop to 21.5.

A separate gauge measuring investors’ assessment of the economy’s current conditions decreased to -15.7 from -9.5. Analysts had forecast a reading of -10.3.

“The feared negative effects of the coronavirus epidemic in China on world trade have been causing a considerable decline of the indicator of economic sentiment for Germany,” said ZEW President Achim Wambach.

“Expectations regarding the development of the export-intensive sectors of the economy have dropped particularly sharply,” he added. (Reporting by Joseph Nasr Editing by Michelle Martin)

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