Economic sentiment in Europe weakened sharply in April, with the Economic Sentiment Indicator falling from 96.7 to 93.5 in the EU and from 96.2 to 93.0 in the Eurozone. The decline marks a clear deterioration in business and consumer confidence, pushing both readings well below the long-term average of 100.
The drop was driven primarily by a collapse in consumer confidence, alongside weaker sentiment among services and retail trade managers. In contrast, confidence in construction and industry held broadly steady, suggesting that the downturn is currently concentrated in demand-sensitive sectors rather than production.
The Employment Expectations Indicator also deteriorated significantly, falling from 97.2 to 93.2 in the EU and from 96.3 to 91.7 in the Eurozone, highlighting growing concerns over the labor market outlook.
Among major economies, the deterioration was widespread. Germany led the decline with a 3.9-point drop, followed by France (-3.0), Italy (-2.8), and the Netherlands (-2.5), while Spain and Poland saw more moderate declines.
| Indicator | Previous | Latest | Change |
|---|---|---|---|
| EU ESI | 96.4 | 93.5 | ↓ -2.9 |
| Eurozone ESI | 96.2 | 93.0 | ↓ -3.2 |
| EU EEI | 97.2 | 93.2 | ↓ -4.0 |
| Eurozone EEI | 96.3 | 91.7 | ↓ -4.6 |
| Country | Change |
|---|---|
| Germany | -3.9 |
| France | -3.0 |
| Italy | -2.8 |
| Netherlands | -2.5 |
| Spain | -0.9 |
| Poland | -0.8 |
