Eurozone investor confidence weakens further, Sentix survey shows

(Sharecast News) - Investor confidence across the eurozone dropped further this month, with views on both the current situation and future outlook deteriorating amid ongoing macro uncertainty. A survey of institutional investors and financial experts by behavioural financial firm Sentix found that the overall sentiment gauge fell 2.0 points to -7.4 in November.

This was down from -5.4 in October after an improvement from September's reading of -9.2 - its lowest in more than a year. Market forecasts had pencilled in an improvement to -4.0.

Sentix said there was "little sign of an autumn upturn", with the single-currency region remaining in a "growth crisis" in November.

The current situation index fell to -17.5 from -16.0, while the expectations measure slipped to 3.3 from 5.8.

"The eurozone continues to languish, with no signs of momentum for the future," Sentix said. "As a result, the path to 2026 seems to be predetermined: the Eurozone economy is unable to emerge from its slump."

The headline figure was weighed down by a steeper fall in confidence in Germany where investors waiting in vain for positive newsflow, Sentix said. The current situation index came in at -38.3, which puts it in recessionary territory, the research showed.

"There is little impetus from [German] politicians, and the central banks are waiting to see what happens. It is therefore not surprising that the next decline is set to occur in November," Sentix said.