Euro Zone Investor Morale Soars in July, Boosted by German Reforms and Confidence
Investor Sentiment and Economic Outlook in the Euro Zone
Significant Improvement in Sentix Index
BERLIN, July 6 (Reuters) - The Sentix index measuring investor morale in the euro zone currency area improved significantly more than expected in July, with its third increase in a row bolstered by growing investor confidence and brighter expectations, particularly in Germany.
July Index Performance
• The index shot up to -3.1 points in July from -13.4 the month before, the survey showed on Monday, beating a forecast of analysts polled by Reuters for -10.0 points
Impact of German Reforms
• Germany, Europe's largest economy, in particular was singled out for improved expectations, which Sentix attributed to a recently announced package of reforms
Overcoming Previous Sentiment Slump
• "The slump in sentiment caused by the Iran conflict is slowly being overcome. The German government's latest reform efforts are having an impact," said Sentix
Economic Expectations and Current Situation
Positive Economic Expectations
• Economic expectations for the 21 countries using the euro turned positive again for the first time since March, jumping 15.8 points to 9.3 points in July
Current Situation Subindex Trends
• The current situation subindex is also on an upward trend, though at a slower pace, rising to -14.8 points from -20.0
Survey Details
• The survey of 974 investors, 195 of which were institutional investors, was taken from July 2-4
(Reporting by Miranda Murray, editing by Kirsti Knolle)
