VOT Research Desk
The Eurozone Sentix Investor Confidence index increased from -30.9 in November to -21.0 in December, exceeding the -27.1 predicted value. From -29.5 in November, the current state of the Eurozone increased to -20.0 in December.
A measure of expectations increased from -32.3 to -22.0, reaching its highest level since March 2022.
A recession is not consistent with the unexpectedly high gas prices and the ongoing stability of the job markets.
However, in our view, this revision of assessments should not be construed as a widespread reversal of trend.
Recession risks have not yet been eliminated. On the strength of the positive Eurozone Sentix data, the common currency received new bids. Trading for EUR/USD is at 1.0560, up 0.20% today.
