Germany’s Investor Confidence Plummets After EU-US Trade Deal

A recent trade deal between the EU and the US has significantly diminished investor confidence in Germany’s economy. According to ZEW, a research institute, investor expectations fell sharply in August, dropping to 34.7 from 52.7 in the previous month, failing to meet analyst projections of 39.5. The decline is attributed to escalating tariffs on German goods under the new trade agreement and sluggish economic performance during the second quarter. 2% drop in factory orders and a record low in industrial production indicate further challenges.