Economic confidence in the euro area declined further in October, close to a five year low.
The economic confidence in the euro area dropped for the second straight month. Reaching its lowest level since January 2015.
Pessimism is spreading from manufacturing to the service sector, and to consumers. A bad sign for the region’s economic prospects. This, according to data from the European Commission.
The economic sentiment index fell to 100.8 points in October from 101.7 points in September. Analysts predicted a slight decline, to 101.1 points.
The recent trade wars have led to a decline in confidence among manufacturers.
Consumer confidence is also down. Resulting in lower confidence in the retail sector.
Economic growth in the Euro area slowed to 0.2 percent in the second quarter. Down from 0.4 percent in the first quarter.
Eurostat will release data on the gross domestic product (GDP) in Q3 on Thursday.