• German IFO Business Climate Index came in at 91.1 in February.
• IFO Current Economic Assessment for Germany dropped to 93.9 this month.
• February German IFO Expectations Index improved to 88.5.

The headline German IFO Business Climate Index advanced to 91.1 in February versus the previous reading of 90.2 and the forecast of 91.4.

Meanwhile, the Current Economic Assessment dropped to 93.9 points in the reported month as against January’s 94.1 and 95.0 expected.

The IFO Expectations Index – indicating firms’ projections for the next six months, increased to 88.5 in February from the previous month’s 86.4 and against the estimates of 88.3.

Market reaction

EUR/USD is weighed down by the mixed German IFO survey. At the time of writing, the pair is trading at 1.0636, down 0.08% on the day.

About German IFO

The headline IFO business climate index was rebased and recalibrated in April after the IFO Research Institute changed the series from the base year of 2000 to the base year of 2005 as of May 2011 and then changed the series to include services as of April 2018. The survey now includes 9,000 monthly survey responses from firms in the manufacturing, service sector, trade and construction.