Key facts
- Euro zone investor morale index rose to 0.9 in August, up from -3.1 in July.
- This marks the fourth consecutive monthly increase in the index.
- The current situation subindex improved to -8.0 from -14.8.
- The expectations gauge increased to 10.3 from 9.3.
- Germany's Sentix index for investor morale rose to -11.9 from -19.4.
Investor morale in the euro zone improved significantly in August, returning to positive territory for the first time since February 2026, according to the latest Sentix survey. The index rose to 0.9 points from -3.1 in July, exceeding expectations of -0.5 and marking the fourth consecutive monthly increase.
The uplift was primarily driven by a sharp recovery in investors' assessment of current economic conditions, with the subindex climbing to -8.0 from -14.8. Expectations also saw an improvement, with the gauge rising to 10.3 from 9.3.
Sentix noted that the confidence shock from the Iran war appeared to have been partially absorbed, although high energy costs and subdued order books continue to weigh on the outlook. For Germany, the Sentix index increased for the third consecutive month to -11.9 from -19.4, its highest reading since February. Sentix pointed to stronger economic data and a 0.2% second-quarter growth rate as indicators of further economic stabilization.
The survey, conducted between August 6 and August 8, polled 1,097 investors, including 213 institutional investors.