Sentix Report Reveals Significant Decline in Investor Confidence

Investor confidence in the Eurozone is expected to decline in December, according to a report published by Sentix on Monday. The overall index is projected to decrease by 4.6 points to negative 17.5, marking its lowest level since November 2023.

The current situation index is predicted to plunge from negative 21.5 to negative 28.5, its lowest value since November 2022. Meanwhile, the expectation index is seen as going down from negative 3.8 to negative 5.8.

Economic Challenges in Key Eurozone Countries

The report highlights that the weakness of the German economy continues to be a burden, and the government crisis in France is adding another major economic problem for the eurozone. The two largest countries in the eurozone are dragging down the EU economy.

Investors' Expectations and Inflation Concerns

On one hand, investors are expecting strong support from the ECB [European Central Bank] to help the faltering economy. On the other hand, the threat of inflation continues to be perceived as a burden.