Eurozone investor morale improves markedly in February, surpassing projections

Eurozone investor morale strengthened markedly in February, reaching its highest level since July 2025, according to the Sentix survey released on Monday.

The index unexpectedly jumped to 4.2 points in February, rebounding from a 1.8 point decline in January and significantly outperforming the -0.2 consensus forecast.

Economists welcomed the upbeat February reading, viewing it as an early indication that a recovery cycle may be beginning after the region’s recession phase appears to have ended.

Additional components of the report also pointed to broad-based improvement. The expectations index climbed to 15.8 in February from 10.0 in January, while the current conditions gauge improved from -13.0 to -6.8 over the same period.

A notable rebound in investor sentiment in Germany—the bloc’s largest economy—also supported the overall improvement, with the current situation index rising to -6.9 from -16.4 in the previous month, suggesting the German economy may be nearing the end of its contractionary phase and helping to brighten the broader Eurozone outlook.