A leading confidence index in Germany published this morning edged fractionally higher for the fifth month in a row in May.
The ZEW economic research institute's economic expectations index, based on a poll of more than 300 analysts and institutional investors, rose marginally by 0.3 point to plus 18.7 points in May, ZEW said in a statement.
The rise "reflects the more favourable situation on the financial markets," the institute said.
The blue-chip DAX stock index, for example, had risen by 34 percent since mid-March "and signals growing confidence regarding future economic developments".
The rising stock prices offered a spark of hope for the German economy, the worst-performing in the euro zone. But ZEW noted that in absolute terms, the index was still way below its historical average of around 33 points.
The ZEW indicator represents the balance between positive and negative expectations for the economy over the next six months.
If most analysts and institutional investors polled believe the economy will improve, the index shows a plus. If most are expecting a deterioriation, the index shows a minus.