German business confidence rose more than economists forecast in January, adding to signs that Europeâ€™s largest economy is recovering from a slump at the end of last year.
The Ifo instituteâ€™s business climate index, based on a survey of 7,000 executives, climbed to 104.2 from 102.4 in December. Thatâ€™s the highest since June and the third straight gain. Sentiment dropped to a 2 1/2 year low in October. Economists predicted an increase to 103, according to the median of 41 forecasts in a Bloomberg News survey.
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