German consumer confidence is set to end its upward trend in April, posting the first slip in seven months amid ever-rising prices for oil and utilities, a closely-watched survey showed Tuesday.

The Nuremberg-based GfK research institute said that its forward-looking consumer confidence index for Germany declined to 5.9 months in April from 6.0 points in March, when the index reached a yearly record high.

The greatest decrease was registered for the income expectations indicator, which fell 7 points to 34.3 points and therefore offset the rise of 7.2 points in the previous month.

"Record prices for petrol and diesel particularly affected the income indicator in March," the GfK said in a statement. "Consumers, and above all commuters, consider their purchasing power to be under threat as a result of these high prices."

Although consumers are less optimistic about the money in their wallets, their economic expectations are turning brighter with a jump of 1.3 points to 7.2 points, which almost negated the loss of 1.6 points in February.

"The stabilization of the economic mood is seemingly linked to the conclusion of a second rescue package for Greece," the GFK said. "The final agreement, which prevented the potential bankruptcy of the country, is strengthening optimism about the economy."

However, the market research company noted that the indicator of economic expectation is still more than 42 points below the corresponding level in 2011, adding new signs that "the German economy will be significantly less dynamic in 2012 than in the prior year."

Another key sub-index, indicator for willingness to buy, did not change dramatically, which fell only 0.6 points to 38.6 points, a relatively good value and above the corresponding value in 2011.

The stable labor market in Germany is a major reason behind the strong desire of purchase, GfK said.

"Given the lack of trust in financial markets and historically low interest rates, consumers also continue to be more likely to make high-value purchases rather than saving their money," it added.

In the monthly report, the GfK stressed that since Germany's exports would be affected by the shirking demands in some European countries, private consumption and domestic markets would play a fundamental role in keeping the rhythm of the Europe's largest economy.

The GfK consumer climate survey is based on interviews with around 2,000 households across the country.