Eurozone Recovery Tracker gains ground after a holiday dip

Our eurozone Recovery Tracker rose 1.4pts to 80.3 in the two weeks ending January 9. We view the reading with a bit of caution, as it may reflect a reflexive rebound following the Christmas dip rather than the start of a steady improvement, as high-frequency data tend to be noisy at the start of the year.

What you will learn:

• The major factor behind the rise was a recovery in mobility, driven mainly by a seasonal rise in movement in workplaces after the holidays.
• Although we expect the Omicron wave to be sharp but short, health metrics in several countries indicate infections have yet to peak.
• Consequently, we anticipate continued voluntary social distancing and absenteeism due to self-isolation measures.