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Reading: Euro zone sentiment hits 21-year-high with further reopening
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The News God > Blog > Business & Finance > Euro zone sentiment hits 21-year-high with further reopening
Business & Finance

Euro zone sentiment hits 21-year-high with further reopening

Sampson Gaddah
Last updated: June 29, 2021 7:22 pm
Sampson Gaddah
June 29, 2021
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2 Min Read
Euro zone sentiment hits 21-year-high with further reopening
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Euro zone economic sentiment surged in June to a 21-year-high as an accelerated pace of COVID-19 vaccinations led to further reopening and an improved mood across all sectors of the economy, notably in retail and services.

The European Commission’s monthly sentiment survey for the 19 countries sharing the euro on Tuesday showed optimism rising to 117.9 points in June from 114.5 in May, beating the consensus estimate in a Reuters poll of 116.5.

Sentiment became much more upbeat in services, the euro zone’s biggest sector that is responsible for more than two thirds of gross domestic product. The sub-index rose to 17.9 points from 11.3 in May, far above expectations.

Retail sentiment rose to 4.5 points from 0.5 in May.

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Optimism in industry, construction and among consumers also ticked up, although more modestly.

Sentiment in Germany hit an all-time high and improved in the six largest EU countries, except Spain, where it slightly declined.

The optimism translated into manufacturing industry’s selling price expectations rising to 36.0 points in June from 29.9 in May, the highest reading in records stretching back to 1985.

Consumers also began to expect higher inflation over the next 12 months, with the reading going up to a 13-month high of 24.7.

For European Commission data click on:

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