Eurozone: Economic sentiment increases for second consecutive month
January 8, 2013
The Economic Sentiment Indicator (ESI) published by the European Commission rose to 87.0 points in December, up from 85.7 points in November. The rise, which marked the second consecutive increase in the index, exceeded market expectations that had sentiment inching up only to 86.3 points. Despite the pick-up, the index remains well below its long-term average of 100 points, suggesting deteriorating prospects for the Eurozone economy going forward.
The improvement was broad-based, as four of the five main sectors rose compared to the previous month. At a country level, the largest increases were seen in Greece (+5.1 points) and Slovenia (+5.0 points). Among the major economies in the region, Italy recorded the strongest improvement (+2.0 points), followed by Germany (+1.0 points), France (+0.4 points) and Spain (+0.3 points). Estonia is currently the country boasting the highest confidence level in the region with 101.8 points, followed by Malta with 98.5 points.
Author: Armando Ciccarelli, Head of Data Solutions