Germany's business morale continues to decline amid looming recession

Germany's business climate index has dipped to a 29-month low in October, according to a Munich-based research institute.

The Ifo Business Climate Index edged down to 84.3 in October from September's revised reading of 84.4.

"The German economy is facing a difficult winter," the research institute said on Tuesday amid the arriving recession.

The market forecast a larger decrease in the main reading with the index projected to be at 83.8 in the month.

Meanwhile, companies' expectations improved compared to a month ago.

The Ifo Business Expectations Index rose to 75.6 in October, up from 75.3 in September.

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