Economic sentiment in the Eurozone improved slightly in September, with the Economic Sentiment Indicator rising 0.2 points to 95.5. The broader EU also gained 0.6 points to the same level. Despite the uptick, sentiment remains below the long-term average of 100.
The modest gains were driven by stronger confidence in industry, services, and among consumers, offset partly by weaker retail sentiment and stable conditions in construction.
By contrast, labor market expectations slipped, with the Employment Expectations Indicator dropping -0.9 points in the EU and -1.3 points in the euro area, suggesting hiring momentum is fading.
Country-level trends were uneven. Spain led with a notable 3-point jump, followed by Italy (+0.7), while sentiment weakened in the Netherlands (-0.7) and Germany (-0.4). France (+0.3) and Poland (+0.1) saw little change.
Full EU and Eurozone economic sentiment indicator release here.
