The German economy currently only knows one direction: south. The Ifo index is the latest sentiment indicator suggesting that the economy is sliding into a winter recession. Germany’s most prominent leading indicator just sent more recession signals. In September, the Ifo index dropped to 84.3, from 88.5 in August. This is the fourth consecutive drop. Both the current assessment component and expectations dropped significantly. Expectations are now at their lowest level since the financial crisis. The main reason for a further weakening in economic sentiment is clear: high inflation and its implications on corporate ... (full story)