Consumer confidence in Germany is expected to increase in May and stand at negative 20.6, up from the previous month's revised figure of 24.3, a joint report released by the market research institute GfK and the Nuremberg Institute for Market Decisions (NIM) showed on Tuesday.

"The realignment of the US administration's trade policy, which began with the announcement of sharp tariff increases shortly before the start of the survey in early April, has apparently not yet had lasting impacts on consumer sentiment in Germany. Any negative effects are likely to be mitigated by the successful conclusion of coalition negotiations and the imminent formation of a fully functioning government," Rolf Buerkl, consumer expert at NIM, remarked on the results.