Eurozone Sentix Investor Confidence slumps to -26.4 in July vs. -19.9 expected
The gauge came in at -26.4 in July from -15.8 in May vs. -19.9 expected. The index stalled its recovery and returned to the levels last seen when the pandemic first broke in 2020, suggesting an “inevitable” recession.
The current situation in the eurozone fell to its lowest since March 2021, and an expectations index dropped to its lowest since December 2008.
Key takeaways
"The energy crisis ... is leading to considerable economic distortions.”
"In every respect, the dynamics are reminiscent of the crisis year 2008, and what was then the collapse of the financial system is now the danger of the collapse of the European energy supply."
EUR/USD reaction
The shared currency remains undeterred by the deterioration in the Eurozone Sentix data. EUR/USD is up 0.09% on the day, currently trading at 1.0435.
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.
