Ifo Business Survey in October 2005

The business climate in German industry and trade clearly improved in October. The firms not only have more confident expectations for the coming half year, they also judged their current situation far better than in September. Among the manufacturing firms optimism grew particularly with regard to future chances in foreign markets. Conditions are favourable for a continuation of the economic recovery, although the strength of growth will not yet suffice to bring noticeable relief to labour market.