
Fathom’s Economic Sentiment Indicators (ESIs) aim to distil the messages from numerous surveys into a single composite measure of underlying sentiment. Since 2017, there has been a gap between hard and soft economic data in Spain, as in other countries, but this is now starting to close, with Fathom’s Spanish ESI falling 0.2 percentage points to 0.6% in October. However, this is unlikely to represent a major turning point for the outlook for the Spanish economy. Indeed, domestic demand — the main driver of Spanish growth since the crisis — remains robust, increasing by 1.1% in the last quarter. This