Eurozone Economic Sentiment improved to 103.1 in August, up from 102.7 and beat expectation of 102.3. The slight improvement of euro-area sentiment resulted from markedly higher confidence in industry and retail trade, while confidence deteriorated significantly in services and construction and, to a lesser extent, among consumers.
Industry Confidence rose 1.4 while Retail Trade Confidence rose 1.2. On other hand, Services Confidence dropped -1.3. Consumer Confidence dropped -0.5. Construction Confidence dropped -1.3. Amongst the largest euro-area economies, the ESI rose strongly in Spain (+1.9) and edged up in Germany (+0.4), while it remained broadly stable in France (+0.1) and the Netherlands (+0.2) and decreased only in Italy (−0.9).
Business Climate Indicator rose 0.22 to 0.11. Managers’ assessments of past production and of export order books improved sharply. Also their production expectations, as well as their views on overall order books and the level of stocks of finished products improved markedly.
