In the retail sector, the index weakened. This was due to more pessimistic expectations on the part of retailers. By contrast, they assessed their current situation somewhat better. The mood in the retail sector continues to be weighed down by supply problems. Price increases are increasingly expected there in the coming months.

In the manufacturing sector, the index decreased. Companies assessed current business as noticeably less good. By contrast, expectations brightened somewhat, mainly due to developments in the automotive industry. Supply bottlenecks for intermediates and raw materials are not letting go of industry. A clear majority of companies plan to increase prices.

In the construction sector, the business climate deteriorated slightly. Expectations were more pessimistic after the continuous upswing of recent months. Meanwhile, the current situation was assessed slightly better.

In the service sector, the business climate deteriorated noticeably. Skepticism increased significantly, particularly with regard to expectations. A stronger decline in the expectations indicator was last observed in November 2020. However, service providers were also less satisfied with the current situation. The fourth wave of infections caused expectations to slump, particularly in the tourism and hospitality sectors.

Sentiment in the German economy has deteriorated. The ifo Business Climate Index fell to 96.5 points in November from 97.7 points in October. Companies were less satisfied with their current business situation. In addition, there was increasing pessimism with regard to expectations. Supply bottlenecks and the fourth Corona wave are causing problems for companies.