Eurozone Sentix Investor Confidence Weakens

(RTTNews) - Eurozone investor confidence deteriorated in October as weakening expectations raised concerns about the economic recovery, survey data from the behavioral research institute Sentix showed Monday.

The Sentix investor confidence fell more-than-expected to 2.7 in October from 5.1 in the previous month. The score was seen at 4.5.

The current situation indicator remained unchanged at -3.3 in October. At 8.8, the expectations index dropped from 13.8 in the previous month.

The eurozone is struggling to emerge from its economic weakness, Sentix said.

It is not primarily the weakness of the German economy that is weighing on the eurozone. The focus has shifted to the French economy as yields on French government bonds increased sharply, the lobby noted.

Sentix said the interest rate burden on the economy is unlikely to ease in the short term. The survey showed that investors were somewhat more relaxed with regard to inflation but the central bank's restrictive outlook remains unchanged.

In Germany, hopes of an emerging economic upturn remain intact, Sentix said. However, the lobby cautioned that dampening of expectations should not be overlooked.

Germany's investor confidence index dropped to -3.6 from -2.8 in September.

The current situation index rose to -14.5, the strongest since May 2023, from -16.8 in September. On the other hand, the expectations index fell to 8.0 from 12.3 in the prior month.