By Maria Martinez
BERLIN, March 25 (Reuters) – German business morale fell in March, a survey showed on Wednesday, as the Iran war made companies grow more pessimistic about the future.
The Ifo institute said its business climate index fell to 86.4 in March compared to a revised 88.4 the previous month.
Analysts polled by Reuters had forecast a larger decrease, to 86.1.
“The war in Iran has, for the time being, ended hopes of an economic upswing,” said Ifo’s president, Clemens Fuest.
The decline in the headline index was due to significantly more pessimistic expectations, with this index falling to 86.0 in March from 90.2 in February as uncertainty among companies increased perceptibly.
Assessments of the current situation, however, remained unchanged at 86.7.
(Reporting by Maria Martinez and and Thomas SeythalEditing by Miranda Murray)
