The regional results of the Ifo Business Survey in industry and trade for Baden-Württtemberg not only provide an leading indication fo the current business situation in this German federal state but can also serve as a leading indicator for future regional economic development. The latter...

The Ifo Business Climate is one of the best-known German business cycle indicators. Studies on German business cycle indicators have ranked the Ifo Business Climate and its components in the top group of the indicators, together with incoming orders, money supply and interest rates. There is...

This paper investigates whether investor sentiment can explain stock returns on the German stock market. Based on a principal component analysis, we construct a sentiment indicator that condenses information of several well-known sentiment proxies. We show that this indicator explains the return...