According to the report from European Commission, in June 2020, the recovery of the Economic Sentiment Indicator (ESI), which had tentatively started in May, intensified. Registering the sharpest month on-month increase on record in the euro area (+8.2 points up to 75.7) and the EU (+8.1 points up to 74.8), the ESI in both regions has so far recovered some 30% of the combinedlosses of March and April. Also the Employment Expectations Indicator (EEI) improved sharply for the second month in a row (by 12.7 points to 82.8 in the euro area and by 11.9 points to 82.7 in the EU).
Industry confidence continued last month’s forceful recovery (+5.8), driven by another hefty improvement in production expectations, which are now almost back to their February level. After its record slide over the last three months, services confidence rebounded (+8.0), thanks to a second month of rallying demand expectations, which were, this time around, coupled with a comparatively small deterioration of past demand and assessments of the past business situation edging up. The latter hints at the expected recovery starting to gain traction. Consumer confidence (+4.1) continued last month’s recovery on the back of households’ much improved expectations in respect of their financial situation, their intentions to make major purchases and, particularly, the general economic situation. Same as in May, households’ assessments of their past financial situation deteriorated, but on a much smaller scale. Retail trade confidence bounced back (+10.4) from rock bottom, thanks to managers’ drastically improved business expectations and views on the adequacy of the volume of stocks, as well as, to a lesser extent, more benign appraisals of the present business situation. Construction confidence rebounded (+4.9), as managers’ employment expectations recovered markedly and their assessments of the level of order
books improved moderately. Finally, financial services confidence (not included in the ESI) booked sharp increases, reverting some 40% of the confidence crunch experienced between February and April. The surge was driven by all components of the indicator, i.e. assessments of the past business situation and past demand, as well as managers' demand expectations
Risk Warning: Trading Forex and CFDs on margin carries a high level of risk and may not be suitable for all investors. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Prior to trading, you should take into consideration your level of experience and financial situation. TeleTrade strives to provide you with all the necessary information and protective measures, but, if the risks seem still unclear to you, please seek independent advice.
© 2011-2020 TeleTrade-DJ International Consulting Ltd
TeleTrade-DJ International Consulting Ltd is registered as a Cyprus Investment Firm (CIF) under registration number HE272810 and is licensed by the Cyprus Securities and Exchange Commission (CySEC) under license number 158/11.
The company operates in accordance with Markets in Financial Instruments Directive (MiFID).
The content on this website is for information purposes only. All the services and information provided have been obtained from sources deemed to be reliable. TeleTrade-DJ International Consulting Ltd ("TeleTrade") and/or any third-party information providers provide the services and information without warranty of any kind. By using this information and services you agree that under no circumstances shall TeleTrade have any liability to any person or entity for any loss or damage in whole or part caused by reliance on such information and services.
TeleTrade cooperates exclusively with regulated financial institutions for the safekeeping of clients' funds. Please see the entire list of banks and payment service providers entrusted with the handling of clients' funds.
TeleTrade-DJ International Consulting Ltd currently provides its services on a cross-border basis, within EEA states (except Belgium) under the MiFID passporting regime, and in selected 3rd countries. TeleTrade does not provide its services to residents or nationals of the USA.