The Eurozone economic sentiment deteriorated for the second consecutive month in February 2018, falling in all sectors except services. The Attitude Index published by the European Commission stands at 114.1 points in February against a revised estimate of 114.9 points in January. In December the index hit a 17-year high of 115.3 points. The average expectations were for value of 114.0 points.
The decrease was due to the more gloomy attitudes in the industry to 8.0 points in February from 9.0 points in the previous month. In retail trade, the drop was from 5.2 points to 4.3 points and in construction from 4.7 points to 4.2 points.
The European Commission also confirmed that the attitudes indicator among consumers also declined to just 0.1 points in February from 1.4 percentage points on a monthly basis.
The optimism grew only in the services sector – to 17.5 points in the second month of the year, from 16.8 points in January.
The data show darker attitudes in Germany, France and Spain during the month, but more optimistic in Italy, suggesting that this weekend’s elections did not affect credibility.
A separate Business Climate Indicator shows the phases of the business cycle has fallen to 1.48 points in February from 1.56 in the previous month. This corresponds to market expectations of 1.47 points.