Euro zone consumer confidence increased to -15.5 in August from -15.9 in July, according to the European Commission's flash estimate released on Thursday.
The modest improvement of 0.4 points exceeded economists' forecasts, which had projected a decline to -16.3. The European Union's broader consumer sentiment measure also rose by 0.1 point to -15.0.
The data, compiled by the Commission, reflects households' assessment of economic conditions, unemployment expectations and savings prospects. The August reading suggests a stabilization in consumer sentiment after a period of heightened pessimism amid persistent inflation pressures and elevated borrowing costs.
The European Commission's survey, conducted in the first two weeks of August, provides an early indication of consumer trends ahead of official releases. The latest figures follow a downward revision in June, when confidence dipped to -16.1 from -15.5 in May, signaling lingering caution among households.
Economists caution that while the August uptick is a positive sign, consumer confidence remains well below pre-pandemic levels, reflecting ongoing concerns over inflation and economic growth prospects in the bloc.
