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Euro Area Consumer Confidence Stabilizes in May After Three-Year Low
Latest Press Release
Latest Press Release
Updated: 28, May2026
The Conference Board Consumer Confidence Index™ for the Euro Area rose by 27 points to -136 in May, up from -162 in April. The increase was driven by a rise in spending expectations (a 12-point gain).However, confidence remains 102 points below February levels, when the war in Iran began.
The Conference Board Consumer Confidence Index™ for the Euro Area standardizes DG ECFIN consumer survey data since 1985 against the long-term average. A value of zero representsthe long-term average.Readings above +100 indicate clear consumer optimism, while readings below -100 indicateclear consumer pessimism.
“Euro Area consumer confidence remained broadly stable in May, but well below levels seen in the months before the current energy shock,” said Matei Farcas, Economic Research Assistant at The Conference Board. “While views of current conditions continued to weaken, more optimistic expectations for the future prevented a further decline in the Euro Area confidence indicator. An improvement in spending expectations, supported by better economic expectations, helped stabilize confidence, though consumers clearly remain pessimistic. The stabilization likely reflected easing inflation concerns.”
Euro Area Overview
The breakdown of the overall Euro Area index shows that in May:
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Households’ assessment of their financial situation over the past 12 months posed a drag on consumer confidence (-19.2, down from -18.3 a month ago).
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Expectations for households’ financial situation over the next 12 months marginally improved, up from -53.4 in April to -46.0.
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Expectations for the general economic situation over the next 12 months remained negative at -61.1, an improvement from -69 the previous month.
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Intentions to make major purchases over the next 12 months strengthened, from -21.1 to -9.3 points, becoming the main driver behind the index’s overall rebound in May.
These trendswere associated with:
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Somewhat improved inflation expectations from a month ago, with nearly all Euro Area countries reporting easing inflation concerns, albeit still more pessimistic than prior to the start of the war in Iran (with inflation concerns at -145, compared to -15 in February 2026).
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A slower recovery among the largest Euro Area economies—including Germany, France, Italy, Spain, Belgium, the Netherlands, and Ireland—which did not rebound as quickly as smaller Euro Area countries, likely reflecting their greater exposure to conflict-related economic spillover.
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A deterioration of unemployment expectations in the Euro Area for a fourth consecutive month, reaching their lowest level since early 2021, at -50.0.
Country Highlights
Country-level confidence improvedacross the Euro Area in May compared to April. Among the largest economies:
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Germany: Consumer confidence rose,up 24 points to –98:
The change reflectedan improvement in the three expectations-related questions. Views about the current financial situation remained negative and broadly unchanged.
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France: Consumer confidence rose slightly,by 15 points to –132:
The movement is largely attributedto an improvement in spending intentions, which turned positive in May after five consecutive months of pessimism. The other three components remained clearly negative, making France the weakest large economy in terms of confidence.
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Italy:Consumer confidence rose by 31 points to –104:
The index moved due tostronger expectationsaround the broader economic outlook and households’ financial situation. However, both components remained negative and well below early 2025 levels.
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Spain: Consumer confidence remained stable,falling by two points to –44:
While 40 points below Februarylevels,the reading was stable as all components were nearly unchanged.
Among smaller Euro Area economies, Cyprus recorded the strongest gain in confidence in May—up 57 points to 12—while Belgium saw the largest monthlydecrease, down by 11 points to -141.
"Euro Area growth is set to barely clear 1% in 2026—and May’s consumer confidence figures reinforce that view,” said Konstantinos Panitsas, Economist at The Conference Board,“Inflation is rising just as nominal wage growth slows, while households’ unemployment fears and price-pressure expectations remain elevated. With manufacturing employment already declining, consumers are likely to stay cautious, leaving private consumption unable to deliver the lift needed to bring growth closer to its historical average in the year ahead.”
Technical Note
The Conference Board’s Consumer Confidence Index™for the Euro Area is calculated using four questions from the European Commission’s consumer confidence survey:
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Q1: Financial situation over the past 12 months
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Q2: Expected financial situation over the next 12 months
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Q4: Expected general economic situation over the next 12 months
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Q9: Major purchase intentions over the next 12 months
Each component is standardized using historical distributions and equally weighted in constructing the overall index. Positive values indicate confidence above the long-term average, while negative values indicate below-average sentiment.Country-level survey results are weighted by each country’s share of Euro Area private consumption before aggregation into the composite Euro Area index.
The monthly Europe Consumer Confidence Survey™ is based on data from the European Commission consumer survey program.
For further information: Contact Harry Miskin (hmiskin@tcb.org)
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