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German business morale rises to highest level in more than two years: Ifo survey

The Brandenburg Gate in Berlin, Germany
Getty Images
The Brandenburg Gate in Berlin, Germany

German business morale rose more than expected in September, a survey showed on Monday, suggesting company executives in Europe's largest economy have become more optimistic after their morale plunged last month over concerns about Brexit.

The Munich-based Ifo economic institute said its business climate index, based on a monthly survey of some 7,000 firms, rose to 109.5 in September, reaching its highest level since May 2014. That was stronger than the Reuters consensus forecast for a reading of 106.4.

The reading for August was upwardly revised to 106.3 from 106.2.

"Companies are clearly more optimistic about the months ahead. They are also more satisfied with their current business situation," Ifo head Clemens Fuest said in a statement.

"The German economy is expecting a golden autumn," he added.