Eurozone economic confidence falls in September, weakest since November 2013

The Eurozone economic confidence index fell below its long-term average of 100 in September, survey results from the European Commission showed Monday. The economic sentiment index dropped to 99.9, in line with forecast, from 100.6 in August. The indicator last surpassed 100 in December 2013.

Consumer  confidence booked the fourth month-on-month decline in a row propelled by consumers’ increased pessimism about future unemployment, the future general economic situation and the level of future savings. The corresponding index declined to -11.4 from -10 in the prior month.

The retail trade confidence index fell to -7.2 from -4.6 in August, reflecting negative assessments of all components of the indicator, namely the expected and present business situation and the adequacy of the volume of stocks.

The industry confidence indicator dipped 0.2 points to -5.5 points September. The slight decline reflects managers’ improved production expectations being counter-balanced by grimmer views on the stocks of finished products and the current level of overall order books.

Meanwhile, the sentiment indicator for services rose marginally to 3.2 from 3.1 a month ago.

Another survey showed that business confidence weakened in September with the corresponding index falling to 0.07 in September from 0.16 in August.

Managers’ evaluation of the level of past production, export order books and the stocks of finished products, as well as overall order books deteriorated. By contrast, production expectations brightened.

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