According to the report from Ifo Institute for Economic Research, the headline German IFO Business Climate Index came in at 94.3 in August, weaker than last month's 95.7 and missing the consensus estimates pointing to a reading of 95.1. Meanwhile, the Current Economic Assessment arrived at 97.3 points compared to last month's 99.4 and 98.6 anticipated. On the other hand, the IFO Expectations Index – indicating firms’ projections for the next six months, came in at 91.3 for August, down from previous month’s 92.2 reading and missed market expectations of 91.5.

Comments by Ifo economist, Klaus Wohlrabe

• German industrial sector is in a recession, services is now following

• There will be GDP stagnation at most in Q2

• The last time industrial companies demonstrated such pessimism was back in 2009

• Latest developments in trade war not yet reflected by the latest survey