Euro zone investor morale falls in December to lowest in additional than a yr

FRANKFURT (Reuters) – Investor morale within the euro zone fell in December to its lowest in additional than a yr, a survey confirmed on Monday, with Germany remaining a drag on the bloc as snap elections in February have did not encourage confidence.

The Sentix index for the euro zone fell to -17.5 in December from -12.8 in November, the bottom degree since November 2023 and a much bigger decline than the -13.5 forecast by analysts polled by Reuters.

“Following the announcement of recent elections to the German Bundestag, there isn’t any temper of optimism,” the survey mentioned, including that with regard to Europe’s high economic system “the recession stays omnipresent.”

The survey of 1,148 traders from Dec. 5 to Dec. 7 confirmed expectations additionally falling to -5.8 in December, down from -3.8 factors final month.

The present state of affairs rating for the forex union even fell to its lowest degree in additional than two years, coming in at -28.5 in December from -21.5 in November.

Investor morale in Germany additionally fell to -33.2 in December, down from -29.8 in November, the survey confirmed.