Eurozone ZEW economic sentiment index
According to a report from the Center for European Economic Research, the Eurozone ZEW economic sentiment index rose in March 2017. It rose to 25.6 in March, compared to 17.1 in February.
The reading was far above the market’s expectation of 17.8. It was released on March 14, 2017.
The index touched an all-time high of 89.9 in January 2000, and it made a record low of -63.7 in July 2008.
Eurozone ZEW indicates the economic sentiment is gradually improving
This index measures the level of optimism economists have about the current economic situation and the expected economic scenario for the next six months.
Impact on the economy
This economic sentiment index has been gradually rising since August 2016. It showed a negative performance in July 2016, as sentiments were hurt by the Brexit vote’s results. From August 2016 to March 2017, the index rose from 4.6 to 25.6.
The index’s gradual improvement shows that economic conditions are also improving gradually in the area. Good economic conditions are necessary for businesses to run smoothly.
In the next part of this series, we’ll analyze the performance of the Germany ZEW economic sentiment index.