Eurozone investor confidence reached its strongest level in more than two years in April as lockdowns in many euro area countries had little effect on the overall economic recovery, survey data from Sentix showed on Tuesday.
The investor confidence index rose sharply to 13.1 in April from 5.0 in March. This was the highest level since August 2018 and well above economists’ forecast of 7.5.
Although the Eurozone economy recently lagged significantly behind the global trend, it started to catch up in April, the survey revealed.
The current situation values jumped by 12.8 points to -6.5 in April, reaching a level that prevailed before the corona crisis. At the same time, the expectations index rose to an all-time high of 34.8 from 32.5 in the previous month.
The large gap between expectations and the current status is slowly closing, Sentix noted.
The economic recovery process is supported by a massive expansion of fiscal policy, the think tank said. Investors even expect the fiscal impulse to expand.
In Germany, the investor confidence index came in at 20.0 in April, the highest since August 2018, from 11.9 in March.
The current situation indicator climbed to +4.5 from -9.5 a month ago. The expectations indicator gained moderately to 36.8 from 35.8.
At 26.8, the global investor sentiment index reached its highest level since February 2018.
The material has been provided by InstaForex Company – www.instaforex.com