Eurozone sentiment declines in May
The European Commission in Brussels announced today that the EZ Economic Sentiment fell to 90.6 in May (the lowest since October 2009) from 92.8 previously and also below the 91.9 economists’ forecast.
The EZ Business Climate Index decreased to -0.77% in May from -0.52% on the last release against consensus at -0.67%.
However, the EZ Consumer Confidence Index came out at -19.3 in May as expected (unchanged from the previous reading).
The EZ Industrial & Services Sentiment both worsened in May, the former was down to -11.3 compared to -9.0 previously versus expectations at -10.2 and the latter came out at -4.9 below -2.4 on the last release against -2.8 estimated.
These euro-area’s indicators continue to point towards a slump in the region’s economic growth, as the specter of an euro zone breakup continues to haunt investors. The Spanish banking crisis also fueled consumers and companies concerns about the future of the Eurozone economy.
After the data hit the wires, the EUR/USD continued in its bearish trend and marked a session-low of 1.2434.
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