German business confidence brightens in December

Confidence among German business leaders rose in December, a closely-watched survey showed Wednesday, in line with other recent positive economic indicators, as the geopolitical risks to Europe's biggest economy appear to ease.

The Ifo institute's monthly business climate index climbed 1.2 points to 96.3 this month, its strongest reading since June and higher than forecasts from analysts surveyed by Factset.

"The mood ahead of Christmas has got noticeably better among German executives," Ifo chief Clemens Fuest said in a statement. "German business is heading into the new year with more confidence."

Looking to different elements of the survey, companies' assessment of both their present economic situation and the outlook for the coming months brightened.

In individual sectors, manufacturers were gloomier about their present performance, but more optimistic for the future.

Germany's powerful industrial sector has suffered from uncertainty over trade conflicts, notably between the US and China, and Brexit.