Euro area confidence unexpectedly rises

Consumer confidence in the euro area unexpectedly rose in October - for the fourth consecutive month. The ECB's comments on potential new incentives probably contributed to this.

The consumer confidence index rose to 105.9 points in October compared to 105.6 points a month earlier. This was the highest level of confidence from June 2011 onwards.

This result exceeded the average expectations of analysts who predicted a value of 105.1 points.

The level of inflation in the euro area has remained at levels of around zero in October. The index that is tracking the confidence in the construction sector rose to minus 20.7 points in October from minus 23.2 points in September. This was the highest level since September 2008 onwards, after the collapse of US investment bank Lehman Brothers Holdings Inc.

The confidence in the sector of retail sales reached a record high of 6.5 points compared to 4.2 points in September. The confidence in the industrial sector has improved. Contradicting signs come however from Europe's largest economy - Germany, where business confidence has fallen for the first time in four months.