There are positive signs of a recovery in Germany's economy, especially in service sectors like tourism and hospitality. Business confidence is rising and a winter recession is likely to be avoided. This is good news for the government as rising wages, lower inflation, and potential interest rate cuts could boost the outlook and weaken the far-right AfD party.

However, the picture is not all good. Manufacturing is still struggling due to high energy costs and weak Chinese demand. This is a major concern as the sector is a significant driver of German growth. There are some signs of hope for the future though, with expectations of a pick-up in global trade and looser monetary policy. The government is also taking steps to address structural weaknesses in the economy, but it faces challenges in finding budget savings and implementing reforms.

https://finance.yahoo.com/news/germany-economy-shows-signs-life-050000459.html