German business sentiment unexpectedly rose for the sixth month in a row in April in a sign that Europe's largest economy continues to outpace peers and shrug off persistent worries about the euro zone debt crisis. The Munich-based Ifo think tank said on Friday its business climate index, based on a monthly survey of some 7,000 companies, inched up to 109.9 in April from 109.8 in March, taking it to its highest level since July 2011.
Economists polled by Reuters had been expecting a slight fall to 109.5. "The impact of the latest wave of the euro crisis on German business confidence remains small," said Christian Schulz of Berenberg Bank. "The fundamental strength of the economy continues to outweigh external worries." Ifo economist Klaus Wohlrabe told Reuters that recent market turbulence related to Spain and Italy had not yet been reflected in the April report, raising the prospect of a weakening in the months ahead.
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