European Commission’s confidence survey likely remained strong in October

The European Commission’s confidence survey for the month of October is expected to have remained strong. According to a Societe Generale report, the numbers are likely to have stayed firm with the headline economic sentiment number probably coming in better than September’s strong figure.

The consumer sentiment index dropped in the flash release last week, but there might also be certain slowdown in the industrial sentiment and business climate indicators. But services, which indicated a more stable pace of rebound in September, is expected to continue to rise in October and increase the headline figure, stated Societe Generale.

“A figure of 105.1 for the overall economic confidence indicator would be consistent with GDP growth of 0.5 percent qoq in 4Q, slightly above our forecast (0.4 percent qoq)”, added Societe Generale.