BERLIN (AP) — Germany’s economy has contracted more than expected in the first quarter amid coronavirus lockdown measures. But a leading indicator showed that businesses’ optimism is rising as the pace of vaccinations increases. The Federal Statistical Office said Tuesday that first quarter gross domestic product in Germany dropped by 1.8% over the fourth quarter of 2020. Many facets of the economy were shut down in the first quarter of the year as Germany grappled with rising coronavirus infection figures. The country has recently been gradually moving to open up more areas of public life, however, and Munich’s Ifo institute reports sentiment among German managers has followed with a considerable improvement.
