Optimism About German, Eurozone Economies Grows

Confidence among European analysts and institutional investors about Germany's economic outlook for the next six months climbed in February, according to the Centre of European Economic Research (ZEW).

The Mannheim, Germany-based group's sentiment index for Germany climbed to 48.2 this month from 31.5 in January. February marked the third consecutive month-on-month increase from a reading of -15.7 in November.

ZEW says the latest survey shows that financial market experts expect Germany's economy, which contracted 0.6% in the fourth quarter of 2012, to grow moderately in coming months.

Confidence in the eurozone s outlook also improved. ZEW's sentiment index for the region rose 11.2 points to 42.4. Sentiment about the auto industry improved 11 points from January but remains poor at a reading of -15.6.

Slightly more than half of those surveyed say the region's economic prospects are "good." Only 31% of respondents expected good conditions in France and the U.K. Italy's economy got that rating from 34% of those surveyed.