A current survey by Sentix is intended to determine the current economic mood in the euro area. The results provide a ray of hope, but there is still no sign of a trend reversal.
Economic sentiment in the euro area improved again in December. The economic indicator collected by the analysis institute Sentix rose by 1.8 points to minus 16.8 points, as the consulting company announced on Monday in Frankfurt. However, analysts had expected a more significant improvement to an average of minus 15.6 points.
Although expectations regarding economic development brightened only slightly, the current situation was assessed noticeably better. However, Sentix does not expect a trend reversal for the better. “The overall still weak momentum and the lack of a certain amount of international support speak against this.” So far, there are no signs of a new upswing in any region of the world.
Sentix assesses the situation in Germany bleakly. “The German economy remains at the bottom of the list among the world regions examined.” The overall index rose for the third time in a row. However, the value is still so low that it was only undercut during the financial crisis in 2008 and during Corona in 2020. “There is still no sign of a trend reversal in Germany.”
Sentix’s economic survey receives more attention from analysts because it is published early in the reporting month. Observers are hoping for clues from other indicators such as the ZEW economic expectations or the Ifo business climate.
The current survey was conducted between November 30th and December 2nd among 1,245 investors.
Source: Stern
