FOREX TradingCharts.com

Financial News: Eurozone Economic Sentiment Deteriorates Sharply

Eurozone Economic Sentiment Deteriorates Sharply

01/08/2025 - 07:36:00 (RTTNews)

(RTTNews) - Euro area economic confidence deteriorated to the lowest in more than a year in December as the improvement in services sentiment was offset by weaker morale in industry, construction and among consumers.

The economic sentiment index dropped more-than-expected to 93.7 in December from 95.6 in the previous month, survey data from the European Commission showed Wednesday.

A similar lower score was last reported in September 2023. Economists had forecast a moderate fall to 95.6.

The industrial confidence index plunged to -14.1 from -11.4 in November. This was the lowest since July 2020. Meanwhile, the services confidence index rose to 5.9 from 5.3 a month ago. The consumer sentiment index slid to -14.5 in December from -13.8 in the previous month. The reading matched the flash estimate.

Confidence among contractors also deteriorated in December with the index easing to -5.2 from -4.9.

At the same time, retailers' confidence remained broadly unchanged. The corresponding indicator registered -4.4 compared to -4.3 in November.

The survey showed that the employment expectations indicator declined to the weakest level since February 2021. The index registered 97.3 in December compared to 98.7 in November.

Selling price expectations increased across all sectors in December. The increase was significant in services and construction, and moderate in retail trade and industry, the survey showed.

Capital Economics' economist Elias Hilmer said the survey is broadly consistent with the euro area GDP stagnating in the fourth quarter. The survey suggested that inflationary pressures remained sticky. Despite the weakness of economic activity, the survey will add to ECB policymakers' concerns about the strength of domestic price pressures, the economist added.

Official data released on Wednesday showed that the decline in producer prices moderated in November amid a slowdown in the fall of energy costs. Producer prices registered an annual fall of 1.2 percent after a 3.3 percent decrease in October. Further, this was the weakest drop since May 2023.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2025 RTTNews.com. All Rights Reserved

Market News provided by RTTNews

RECENT INTERNATIONAL FINANCIAL NEWS


Ireland Property Price Inflation Slows For Third Month (06 hr(s), 47 min(s), 28 sec(s) ago)
(RTTNews) - Residential property price inflation in Ireland eased for the third month in a row in ...Full Story»

Poland Industrial Output Recovers; PPI Falls At Slower Pace (08 hr(s), 08 min(s), 28 sec(s) ago)
(RTTNews) - Poland's industrial production recovered in December on a rebound in mining and qu ...Full Story»

Iceland Jobless Rate Surges To 3.9% In December (08 hr(s), 19 min(s), 28 sec(s) ago)
(RTTNews) - Unemployment rate in Iceland climbed sharply to a three-month high in December after e ...Full Story»

UK Budget Deficit Surges On Interest Payments (08 hr(s), 42 min(s), 28 sec(s) ago)
(RTTNews) - The UK budget deficit more than doubled in December largely due to interest payments, ...Full Story»

Malaysia Central Bank Holds Key Interest Rate Steady At 3% (08 hr(s), 58 min(s), 28 sec(s) ago)
(RTTNews) - Malaysia's central bank left its benchmark interest rate unchanged on Wednesday as ...Full Story»

South Africa Inflation Climbs For Second Month, Retail Sales Growth Improves (09 hr(s), 05 min(s), 28 sec(s) ago)
(RTTNews) - South Africa's consumer price inflation accelerated for a second straight month in ...Full Story»

UK Budget Deficit Widens In December (13 hr(s), 58 min(s), 28 sec(s) ago)
(RTTNews) - The UK budget deficit more than doubled in December from the last year as increases in ...Full Story»

South Korea Consumer Confidence Improves In January (14 hr(s), 51 min(s), 28 sec(s) ago)
(RTTNews) - South Korea's consumer sentiment increased for the first time in three months in J ...Full Story»

Search

INTERNATIONAL FINANCIAL NEWS

Ireland Property Price Inflation Slows For Third Month

01/22/2025 - 09:46 AM (RTTNews)
(RTTNews) - Residential property price inflation in Ireland eased for the third month in a row in ...Full Story>>

Poland Industrial Output Recovers; PPI Falls At Slower Pace

01/22/2025 - 08:25 AM (RTTNews)
(RTTNews) - Poland's industrial production recovered in December on a rebound in mining and qu ...Full Story>>

Iceland Jobless Rate Surges To 3.9% In December

01/22/2025 - 08:14 AM (RTTNews)
(RTTNews) - Unemployment rate in Iceland climbed sharply to a three-month high in December after e ...Full Story>>

UK Budget Deficit Surges On Interest Payments

01/22/2025 - 07:51 AM (RTTNews)
(RTTNews) - The UK budget deficit more than doubled in December largely due to interest payments, ...Full Story>>

Malaysia Central Bank Holds Key Interest Rate Steady At 3%

01/22/2025 - 07:35 AM (RTTNews)
(RTTNews) - Malaysia's central bank left its benchmark interest rate unchanged on Wednesday as ...Full Story>>

Do not sell my personal information

Copyright © 2025. All market data is provided by Barchart Solutions. Information is provided "as is" and solely for informational purposes, not for trading purposes or advice. To see all exchange delays and terms of use, please see disclaimer.