European Central Bank

Macro Brief: A good Eurozone print to start the week

Macro 3 minutes to read

Christopher Dembik

Head of Macro Analysis

Summary:  As Trump and China rattle sabres over trade, a new investor sentiment survey points to better times in Europe.


The EZ Sentix investor sentiment index is not the most commented of indicators. However, considering the lack of data today, it is worth a look. The latest print for May is out and it is rather positive, at 5.3 vs prior minus 0.3. Looking at expectations, the data is also positive at minus 0.3 vs prior minus 4.3.

The spread between current situation and expectations is also narrowing compared to the peak reached in mid-2018, currently at minus 11.25. We also have a strong improvement in sentiment in Germany as the index is out at 7.9 vs prior 2.1.

All of that tends to confirm that the low point of growth for the Eurozone this year is certainly behind us. Germany, which was facing headwinds both from Turkey and China, is slowing recovering but obviously remains subject to new negative trends in global trade resulting from trade wars. But despite the recent tweets of President Trump threatening China, we remain confident that a trade agreement will be reached between the two countries in coming months. This, along with China’s economic stimulus programme, will help to revive growth.

Trade responsibly
All trading carries risk. Read more. To help you understand the risks involved we have put together a series of Key Information Documents (KIDs) highlighting the risks and rewards related to each product. Read more

Saxo Bank A/S is licensed by the Danish Financial Supervisory Authority and operates in the UAE under a representative office license issued by the Central bank of the UAE.

The content and material made available on this website and the linked sites are provided by Saxo Bank A/S. It is the sole responsibility of the recipient to ascertain the terms of and comply with any local laws or regulation to which they are subject.

The UAE Representative Office of Saxo Bank A/S markets the Saxo Bank A/S trading platform and the products offered by Saxo Bank A/S.