Euro-Area Economic Confidence Drops to Lowest in Five Months

  • Indicator falls to 105 in January from 106.7 in December
  • Change reflects deteriorating sentiment in industry, services
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Euro-area economic confidence slumped more than analysts predicted in January, strengthening the European Central Bank’s case for increasing stimulus.

An index of executive and consumer confidence fell to 105 from a revised 106.7 in December, the European Commission in Brussels said on Thursday. That’s the lowest since August and compares to a median estimate for a drop to 106.4 in a Bloomberg survey of economists. The figure for December was previously reported at 106.8.