According to the report from the European Commission, in October 2021, the Economic Sentiment Indicator (ESI) picked up in both the EU (+1.0 point, to 117.6) and the euro area (+0.8 point, to 118.6). The Employment Expectations Indicator (EEI) continued to increase (+1.2 points to 114.7 in the EU and +1.1 points to 114.5 in the euro area), reaching its highest reading since February (EU) / May (EA) 2018.
In the EU, the ESI’s increase in October was driven by improving confidence in services, construction and, to a lesser extent, retail trade. Confidence remained virtually unchanged in industry, while it weakened among consumers.
Amongst the largest EU economies, the ESI rose in Spain (+2.5), France (+2.1), Italy (+1.8), Poland (+1.5) and the Netherlands (+1.4), while it weakened slightly in Germany (-0.5).