• Eurozone investors’ morale deteriorates sharply in July.
• EUR/USD keeps range below 1.0850 despite the downbeat Eurozone data.

The Eurozone Sentix Investor Confidence Index dropped sharply from 0.3 in June to -7.3 in July, according to the latest survey published on Monday.

The Expectations Index in the Eurozone fell from June’s 10.0 to 1.5 in July.

The index on the Current Situation also decreased to -32.3 in July from -26.3 in June.

Key takeaways

The results are a "bitter setback".

“The recent recovery of the European economy has come to an abrupt end.”

“The survey said that investors were concerned about French elections, upcoming German state elections and uncertainty over the US presidential election later this year.”

Market reaction to the Eurozone Sentix data

EUR/USD is holding the renewed upside near 1.0830 despite the discouraging Eurozone data. As of writing, EUR/USD is up 0.05% on the day.