News Summary: German business optimism fades

AP News
Posted: Jun 22, 2012 11:52 AM
News Summary: German business optimism fades

GATHERING CLOUDS: A key measure of German business optimism fell in June, another sign that the financial crisis could slow Europe's biggest economy in coming months

STILL GROWING: Germany's export-oriented economy has done better than many others in Europe and grew 0.5 percent in the first quarter from the quarter before. But the confidence survey suggests that things could get more difficult.

SILVER LINING: Germany has received some benefits from Europe's debt crisis. The euro's exchange rate has dropped, making German exports cheaper. Demand for government bonds as a safe haven for investor money has driven the government's borrowing costs down.