German business confidence up

Berlin: German business confidence unexpectedly improved in June, suggesting Europe’s largest economy is weathering the region’s worsening sovereign debt crisis and slowing global growth.

The Ifo institute in Munich said its business climate index, based on a survey of 7,000 executives, increased to 114.5 from 114.2 in May. Economists forecast a drop to 113.4, the median of 39 estimates in a Bloomberg News survey showed. The index remains close to a record high of 115.4 posted in February.