German Consumer Confidence Rises in June

Germans appeared more willing to part with their money in June as confidence among consumers showed a slight increase, indicating that the country's economic recovery is gaining strength. The market research firm GfK's July consumer sentiment index, which seeks to forecast household spending a month in advance, rose to 5 from an adjusted 4.8 in the previous month. "The consumer climate will brighten mostly on an increased inclination to make purchases," GfK economist Rolf Bürkl said in a statement. But he warned that domestic spending will not likely reach the healthy levels of the country's exports. Germany's nascent economic recovery has been almost entirely driven by exports, as high unemployment and insecurity have kept consumers from spending. Economists say domestic spending needs to pick up steam to give the recovery added momentum.