Upswing in Domestic Economy Continues, but Momentum Soon Reaches Ceiling

The recovery of the Austrian economy is continuing. Looking at weekly activity, the momentum has weakened recently, but economic activity has already returned to pre-crisis levels (average for 2019). The weekly activity indicators point to a year-on-year increase in economic output of around 6.7 percent for July. According to the July WIFO-Konjunkturtest (business cycle survey), domestic companies were again more optimistic about the current situation than in the previous month, but their expectations have recently dimmed slightly.