Description
The Euro Area Economic Sentiment Indicator (ESI) is calculated and published by the European Commission. This indicator measures the confidence of businesses and consumers in the future economic outlook, covering five sectors: industry (40%), services (30%), consumers (20%), retail (5%), and construction (5%). A reading above 100 indicates above-average economic sentiment, while a reading below 100 indicates below-average sentiment, making it a crucial indicator for assessing the economic health of the Euro Area.
The ESI is derived from survey data, weighted according to each sector's contribution to GDP. Balances are calculated as the difference between positive and negative responses, and the data is seasonally adjusted.
The data is released monthly, providing insights into the current economic sentiment.