Euro area economic confidence rises in August ’24

Euro area economic confidence improved modestly in August 2024, driven by gains in industry and services. The Economic Sentiment Indicator (ESI) rose by 0.4 points to 96.9 in the EU and by 0.6 points to 96.6 in the euro area.

The Employment Expectations Indicator (EEI) saw a more pronounced increase, up 0.9 points to 99.6 in the EU and 1.3 points to 99.2 in the euro area.

Industry confidence improved slightly due to better production expectations, though overall order book assessments worsened. Services confidence increased on stronger demand expectations despite a decline in past demand assessments.

Retail trade confidence rebounded after four months of decline, while construction confidence remained stable.

Consumer confidence was broadly stable, with a slight decline in financial situation assessments balanced by improved expectations for the general economy.