Economic confidence in the euro area fell more sharply than expected in April, as soaring energy costs dented consumer sentiment and pushed inflation expectations to their highest level in two years. Fresh data from the European Commission shows the Economic Sentiment Indicator dropped to 93, missing market expectations of 95.2 and down from 96.2 in March. The latest reading marks the weakest level since November 2020, underscoring the depth of the slowdown. Consumer confidence was finalised at -20.6, unchanged from the preliminary estimate but still reflecting deeply negative sentiment among households. The data highlights growing anxiety among consumers, driven largely by rising energy costs and fears of persistent inflation. Households reported worsening expectations about both their financial situation and the broader economic outlook.

Powered by Commodity Insights