DATA SNAP: July ZEW Econ Expectations 39.5 Vs 44.8 In June

MANNHEIM, Germany -- German economic sentiment fell in July, confirming forecasts that the country's gross domestic product is set to decline 6% this year, the Center for European Economic Research said Tuesday.

Economic expectations for the six months to come fell to 39.5 after registering 44.8 in June, the think-tank, known as ZEW after its German initials, said.

This compares with expectations for an increase averaging 47.4 in a Dow Jones Newswires poll of economists.

"A considerable risk for the future development of the German economy is whether lending to firms and households" functions, ZEW said.

Experts' assessment of the current conditions in July was stabilizing at low levels, coming in at -89.3 after recording -89.7 in the previous month.