Service Sector: Climate Indicator Hits New Year-High

In the service sector demand remained almost as lively in August as it was last month. Compared to the corresponding period last year there was growth across the board. Satisfaction with order levels increased slightly and is now at a very high level historically. Overall, survey participants assessed their current business situation as somewhat more favourable this month and the corresponding indicator is now almost 20 balance points above its historical average. Service providers largely expect turnover to increase in the months ahead, although they were no longer quite as optimistic as in July. The general business outlook was markedly more confident, with the expectations indicator reaching its highest level of the year to date. As a result of the increase in both sub-components, the overall climate indicator rose clearly and also climbed to a new record high for the year in August.