The ZEW Indicator of Economic Sentiment is a sentiment indicator created out of the monthly ZEW Financial Market Survey. This survey is an aggregation of the sentiments of approximately 350 economists and analysts on the economic future of Germany in the medium term.

ZEW stands for Zentrum für Europäische Wirtschaftsforschung, which translates to the Center for European Economic Research.

A positive index value indicates more optimistic experts, while a negative one shows more pessimism.

The ZEW Indicator reflects the difference between bullish and bearish expert sentiments about the economy.

The survey includes questions about expectations for interest rates, inflation, exchange rates, and stock markets.