Eurozone economic confidence showed an unexpected slight improvement in November, rising to 95.8 from 95.7 in October, as reported by the European Commission. This marginal increase defied market expectations of a decline to 95.1.
The modest growth was driven by stronger sentiment in industry and retail trade, which offset declines in services and consumer confidence.
Industrial confidence rebounded, with the index rising to -11.1 from -12.6, surpassing the expected -13.2. Retail trade confidence also improved, climbing to -4.4 from -7.2, driven by positive perceptions of past business conditions.
However, services confidence dipped to 5.3 from 6.8, reflecting weaker assessments across key components.
Consumer sentiment fell to -13.7 in November, aligning with earlier flash estimates, while construction sentiment held steady at -4.8. Meanwhile, the Employment Expectations Indicator dropped for a second consecutive month, slipping to 98.9 from 99.2.
Conclusion
Eurozone economic confidence rose slightly in November, supported by gains in industrial and retail trade sentiment. However, declines in services and consumer confidence, along with a drop in employment expectations, highlight persistent challenges for the region’s economy.