European Investor Confidence Rises for Third Month
European investor confidence rose for a third month in November as the European Central Bank’s bond- purchase plan calmed financial markets, the Sentix research institute said.
An index measuring sentiment in the euro-area economy increased to minus 18.8 from minus 22.2 in October, the Limburg, Germany-based institute said in an e-mailed statement today. Economists had forecast a gain to minus 21, according to the median of 11 estimates in a Bloomberg survey. A gauge of economic expectations rose to minus 5.5 from minus 9, while a measure of current conditions climbed to minus 31.3 from minus 34.5, Sentix said.
“The past weeks were rather quiet but the absence of new negative news about the euro-region crisis may have made investors more confident,” Sebastian Wanke, senior analyst at Sentix, said in the statement. Investors may also be “more confident that the measures designed by ECB President Mario Draghi in the summer will show their effect,” he said.
Draghi pledged in July to do whatever it takes to preserve the euro. European officials are now waiting for Spain, whose economy contracted for a fifth quarter in the three months through September, to request a full-fledged bailout after the country already secured 100 billion euros ($128 billion) to recapitalize its banks.
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