German business confidence dipped in July, a survey showed on Wednesday, suggesting a slew of risks including the threat of U.S. tariffs on EU cars and car parts is starting to unsettle company executives in Europe's largest economy.
The Munich-based Ifo economic institute said its business climate index fell to 101.7 from 101.8 in June, but it did not register as big a drop as forecast. Economists polled by Reuters had expected a reading of 101.5.
“Companies were slightly more satisfied with their current business situation, but scaled back their business expectations slightly,” Ifo chief Clemens Fuest said. “The German economy continues to expand, but at a slower pace.”