The Sentix Economic Index for Germany plummeted in August, signaling severe economic deterioration. The overall index dropped from -19.0 to -31.1 points, as reported by the consultancy firm Sentix. According to CEO Patrick Hussy, Germany's economy is in "freefall," with recession warnings ringing loud once more.

The current situation index plunged from -32.3 to -42.8 points, marking its lowest level since June 2020. Meanwhile, the expectations index fell from -4.8 to -18.5 points, the weakest since October 2023.

In the Eurozone, the economic index decreased from -7.3 to -13.9 points in August. The current situation assessment dropped from -15.8 to -19.0 points, while expectations declined from +1.5 to -8.8 points. "After the significant setback in July, August is proving exceptionally grim for the Eurozone economy," Hussy noted, citing concerns over the geopolitical instability, especially in the Middle East.

In the U.S., economic cooling is accelerating. Expectations fell for the fourth consecutive month, reaching -10.0 points, the lowest since July 2023. "The Federal Reserve's restrictive interest rate policy is now impacting the economy," Hussy explained. "The ongoing economic slowdown is likely to be a central issue in the U.S. election campaign."