European investor confidence fell while confidence among North American investors surged this month, a key index that measures risk appetite showed.
The fall in European investor confidence was explained as related to a dovish tone by the European Central Bank (ECB).
The State Street Global Investor Confidence Index rose to 108.9 points in July, above the break-even point of 100 when risk appetite is neutral.
But the 7-points rise from June was driven by a 10-points increase in North America, with European confidence providing a drag.
The Europe index fell 4.3 points to 94.2.
Ken Froot, of State Street Associates, said: “With fading political headwinds and a strong tone to the Eurozone corporate earnings data, the ECB’s dovishness came as a surprise. As a result, European market participants continued to express caution.”
He added lower confidence among Asian investors could have been related to the build-up of corporate debt in China and concerns about the Trump Administration’s global trade policies.
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