As the risk of a stalled economy comes into view, investor sentiment in the eurozone rose for the fourth consecutive month in February to reach its highest level since March 2022, according to a survey released on Monday. However, it remained negative.
Sentix’s index for the euro zone increased from -17.5 in January to -8.0 points in February, exceeding analysts’ predictions of a score of -12.8.
“A recession is no longer a possibility at this time, according to the increase of 9.5 points. In contrast, the scenario of stagnation is taking shape “Sentix Managing Director Patrick Hussy said in a statement that a turnaround is being aided by the absence of an oil crisis and good corporate news.
A measure of expectations increased from -15.8 in January to -6.0, its highest level since last February, and a measure of the existing state of affairs increased from -19.3 to -10.0.
The expectations index typically turns positive faster than the current situation index at economic turning moments, according to Hussy, but this hasn’t been the case thus far: “Investors expect the status quo of the economy to be preserved to some extent.”
According to Sentix, the survey of 1,317 investors was conducted from February 2 to 4.