Construction (Germany):
Outlook only slightly more cloudy

The business climate in construction remained virtually unchanged and is still relatively good. The enterprises evaluated their current business situation less critically for the third time in succession, but they are less reserved than in the previous month with regard to business in the coming half year. Responsible for the somewhat more favourable appraisal of the current situation were the firms in civil engineering, whereas in structural engineering current business was assessed as slightly worse. The dissatisfaction with order stocks abated somewhat, and the share of firms that reported an order shortage decreased. Climatic influences are no longer hampering production, and the equipment was utilised at a 68 percent rate - seasonally and weather adjusted - the same rate as 12 months ago. Construction output, however, is not expected to expand as strongly as at the beginning of the year. Still, the contractors expect a moderate continuation in the rise of construction prices in the coming months.