Eurozone Sentix Investor Confidence jumps to 21.0 in May, a big beat

Dhwani Mehta FXStreet

Eurozone’s investor morale improved much more than expected in May, the latest data published by the Sentix research group showed on Monday.

The gauge came in at 21.0 in May from -13.1 in April vs. a reading of 14.0 expected.

The Sentix situation index rises for the third time in a row to 6.3 points.

In Euroland, expectations rose to +36.8 points, an all-time high.

Manfred Huebner, Managing Director of Sentix, said: " The excellent economic performance is evident in all regions of the world. The overall index for the US reaches an all-time high and rises for the 13th consecutive month. The global economy is now beginning to show clear signs of overheating. This is likely to prompt central banks to slow down the momentum.”

EUR/USD reaction

The shared currency got a fresh boost from the upbeat Eurozone Sentix data, as EUR/USD looks to extend the bounce above 1.2150.

The spot dropped to daily lows of 1.2136, as the US dollar pauses its sell-off across the board.

About Eurozone Sentix Investor Confidence

Among 1600 financial analysts and institutional investors, the Sentix Investor Confidence is a monthly survey that shows the market opinion about the current economic situation and the expectations for the next semester. The index, released by Sentix GmbH, is composed by 36 different indicators. Usually, a higher reading is seen as positive for the Eurozone, which means positive, or bullish, for the Euro, while a lower number is seen negative or bearish for the unique currency.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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