European Central Bank Survey: Eurozone Businesses Optimistic About Future Prospects but Concerned About Inflation Risks

Jin10 data reported on October 27, the European Central Bank's corporate financing environment survey released on Monday shows that overall, companies in the eurozone remain optimistic about their future business prospects, but at the same time, they are concerned that inflation may rise to higher levels. The European Central Bank indicated that a net 25% of surveyed companies hold an optimistic outlook for the next quarter, an increase from three months ago, but companies continue to feel the pressure of declining profits. The European Central Bank pointed out: “The median expectation for average annual inflation over the next year remains at 2.5%, while expectations for the next three and five years remain at 3.0%.” “In the five-year outlook, most companies still believe that the risks to the inflation outlook are tilted to the upside.”