Economic sentiment improved on the Continent in October, EC survey shows
Optimism in the Eurozone’s economic outlook registered a broad improvement in October according to the European Commission.
The index of economic sentiment (ESI) from the European Union’s (EU) executive arm increased to a reading of 100.7 from 99.9 in the month before, on the back of improved confidence in services and construction.
A gauge for confidence in the construction sector rose to a reading of -24.6 from -27.7 in the month before, while a barometer for the services sector increased to 4.4 from 3.2.
The sub-index for industrial confidence advanced to -5.1 from -5.5 (consensus: -5.5) and another for consumer confidence gained to -11.1 (consensus: -11.1) from -11.4.
"The Eurozone ESI points to annual Eurozone GDP growth of around 1.5%, higher than the 0.7% rise seen in the second quarter. However, the survey data has been more optimistic than actual data over recent quarters and PMI data paint a gloomier picture," Capital Economics said in reaction to the data.