Eurozone: Economic sentient stabilizes in May
May 28, 2015
Economic sentiment in the Eurozone stabilized in May, remaining at high levels. The Economic Sentiment Index (ESI), which is published by the European Commission, was unchanged in May at April’s 103.8. The result slightly overshot the 103.5 the markets had expected while the ESI continues to hover above the 100-point long-term average.
According to the Commission, the stabilization of sentiment in the Eurozone reflected that rising economic confidence in services, retail trade as well as in the construction sector was offset by falling consumer sentiment. Meanwhile, economic sentiment in the industrial sector remained virtually unchanged over the previous month.
At a country level, improvements in economic sentiment were observed in Luxembourg (+4.4 points), Austria (+1.1 points) and Belgium (+1.1 points). Conversely, lower sentiment was registered in Cyprus (-3.9 points), Slovakia (-3.4 points) and Lithuania (-2.5 points). Among the four largest Eurozone economies Germany (+0.7 points) and France (+0.5 points) were the best performers. Economic sentiment in Italy fell (-0.4 points) , while in Spain it remained unchanged over the previous month.
Author: Ricardo Aceves, Senior Economist