(Sharecast News) - German investor sentiment improved more than expected in January, according to a survey released on Tuesday by the ZEW Center for European Economic Research in Mannheim.

The ZEW economic sentiment indicator rose to 59.6 from 45.8 in December 2025, coming in comfortably ahead of expectations for a reading of 50.0.

The index for the current situation improved to -72.7 in January from -81.0 the month before.

ZEW President Achim Wambach said: "The ZEW index is rising strongly. 2026 could mark a turning point. However, despite the positive economic sentiment, work should continue to strengthen the attractiveness of the location in order to enable sustainable growth."