ING Says No Signs of Acceleration Yet for The Eurozone Economy

07:38 AM EST, 01/08/2026 (MT Newswires) -- The Economic Sentiment Indicator (ESI) for the eurozone fell from 97.1 to 96.7 in December, said ING.

Not a large move, but reflective of an economy showing modest growth without any meaningful signs of a pickup, wrote the bank in a note. Industrial sentiment improved somewhat, particularly as new orders came in a little better.

Still, with the indicators for new orders and production expectations remaining lower than in October, this can hardly be called the start of an investment rebound, stated ING.

Weaker reported demand for services also supports "muted" Q4 gross domestic product growth expectations, pointed out the bank.

Consumers saw confidence decline in November despite more positive views on recent household finances. Concerns about the months ahead increased, including more worries about unemployment.

That stands in contrast with Thursday's positive unemployment data (6.3% in November, down from 6.4% in October). The unemployment rate has hovered around current levels for some time, which is the lowest since the start of the data series.

For 2026, ING expects growth to gradually pick up on the back of stronger consumer spending and investment. For the moment, low consumer confidence continues to be a barrier to increased household spending, although positive real wage growth does provide some consumption tailwinds.

For investment, the big question is when fiscal stimulus promises will kick in, added the bank.

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