Bankinter | The ZEW Economic Sentiment Survey surprises on the downside in April and stands at its lowest level since December 2022. The ZEW survey shows a sharper-than-expected decline and falls into negative territory for the second consecutive month.
Bankinter analysis team’s view: The sharp fall reflects concerns about economic growth and the impact on energy prices arising from the US-Iran conflict. The figure is even weaker than that recorded in April 2025 (Liberation Day) and represents the lowest figure in over three years.
By component, Expectations fell to -17.2 points against -5.8 expected against -0.5 previously, whilst the Current Situation also deteriorated more than expected to -73.3 against -70.5 against -62.9.
In our view, the energy shock caused by the conflict should be more temporary than structural (as we expect a resolution to the conflict that should not drag on for too long).
