"The stability of the euro against the dollar shows that people trust what the ECB has done so far to resolve the crisis"
- James Kwok, the London-based head of currencies at Amundi Asset Management
Confidence among consumers in the 17-nation economy improved unexpectedly in April, adding to signs that the region's economy will soon start to recover, the European statistics office Eurostat said on Monday. A gauge of consumer confidence jumped to -22.3 this month, up from -23.5 in March, and beating analysts' expectations, which called for a reading around -24.0. In the meantime, consumer sentiment in the wider 27-member European Union also improved in April, reaching -20.4, compared to -21.6 last month. As consumer spending accounts for more than half of Eurozone economic output, the improvement in the mood may signal that even despite effects of the debt crisis, which has cut disposable income, consumers will soon show willingness to increase their spending, boosting economic growth.
"We expect a gradual recovery in the euro area economic activity for the second half of this year, but this scenario is subject to downside risks," Draghi said at a plenary debate at the parliament in Strasbourg.
"The stability of the euro against the dollar shows that people trust what the ECB has done so far to resolve the crisis," James Kwok, the London-based head of currencies at Amundi Asset Management, which oversees $947 billion, said in a phone interview.
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