BERLIN, April 4 (Reuters) – Eurozone investor sentiment deteriorated more sharply than expected in April, falling to its lowest level since July 2020, according to data released on Monday from the firm’s monthly survey. Sentix study.
Its confidence index for the euro zone came out at -18.0 in April against -7.0 in March and -9.2 given by the consensus.
The sub-index measuring investors’ judgment of the current situation fell from 7.8 to -5.5, the lowest since April 2021, while the expectations sub-index also retreated, falling from -20.8 at -29.8, its lowest level since December 2011.
While the drop in investor sentiment in March was to be expected due to the Russian invasion of Ukraine, the index’s sharp drop this month once again puts investors on the defensive, Sentix said in a statement.
Sanctions and war-related uncertainties are pushing the eurozone economy into recession, the cabinet added.
“Investors don’t expect the European Central Bank to rush to the rescue with looser and more expansive monetary policy given the rapid pace of inflation growth,” he said.
Sentix points out that investor sentiment is falling globally but nowhere as sharply as in the Eurozone.
“No region is able to withstand the negative momentum at the moment, even the important Asian region is already struggling with ‘stagnation’,” he said, referring to an economic environment in which low growth and high inflation.
Sentix surveyed 1,249 investors between March 31 and April 2. (Report Miranda Murray and Sarah Marsh, French version Laetitia Volga, edited by Matthieu Protard)