NEW$ TO U(SE)

(…) In Germany, the research institute Ifo reported business confidence rose to its highest level in 15 months, while across the Rhine, the French national statistics office Insee reported weakening sentiment. Ifo’s main index reading of 94.7 was up from an unrevised estimate of 93.9 in November and above analysts’ expectations of a reading of 94.5.

The index reflecting respondents’ assessment of current conditions rose to 90.5 from 89.1, while the index assessing expectations for the next six months rose to 99.1 from 98.9 The main Ifo index is now at its highest level since the summer of 2008, before the collapse of U.S. investment bank Lehman Brothers Holdings Inc. triggered the most acute phase of the global financial crisis.(…)

By contrast, Insee’s index for December fell to 89 from 90 in November, disappointing forecasts of an increase to 91.

Much of the difference appeared to be a result of the outlooks of the two countries’ export sectors. In France, exporters’ confidence about global order books fell more sharply than any other component of the overall index, while in Germany, exporters continued to gain confidence, according to Ifo economist Klaus Abberger.(…)

"Germany is benefiting from exports in general and from demand in Asia in particular," said Mr. Brzeski. "But France for some time has missed the train, as far as positioning itself as an export nation."

Full WSJ article