Eurozone Sentix Investor Confidence dropped sharply to -0.3 in December, down from 8.8 and missed expectation of 8.4. It’s also the fourth decline in a row, and lowest reading since December 2014. Expectation index also dropped to -18.8, lowest since August 2012. Sentix noted that “the dynamics of the downturn are similar to those of the pre-crisis year 2007.”
Also, “sheer downward momentum that the economy is currently offering is impressive. The economy is “slimming down at a considerable pace, with pressures coming from “all corners” including “trade disputes, the Italian crisis, unrest in France and Belgium or Brexit.” Besides, “the momentum of the current downturn is in many respects similar to that of 2007, and banks, especially in Europe, appear to be in a similarly precarious position”.
