"Even as business and consumer confidence grows, however, continued financial stability in the Euro Area remains vital for economic growth"
- Conference Board Europe Economist Bert Colijn
The change in the price of imported goods purchases in Europe's largest economy in June was also negative, raising concerns the overall inflation in Germany could be muted. Figures from the Federal Statistical Office showed Friday that import prices dropped for a sixth concessive month in June, falling 2.2% annually, after recording a 2.9% drop in May, while on a monthly basis prices tumbled 0.8% from a 0.4% fall in May. Excluding crude oil and mineral oil products, indicator was 2.6% below the level of the previous year. German statistical office also said that prices of exported goods fell both monthly and annually by 0.4% and 0.6%, respectively.
Also Friday the Conference Board published a report, which suggests a recovery in the Eurozone may be on hold, as the leading economic index gained for the third month in a row in June. The leading index inched higher 0.5% to 107.5, compared with 0.4% and 0.1% gains registering in May and April consequently. A gauge of current economic situation, however, fell 0.2% to 100.7. Latest figures are adding to hopes that the powerhouse Germany, as well as the recession stricken 17-nation bloc as a whole would gain momentum in the second quarter, recovering from its longest-ever recession.
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