Europe, gold left out of growing optimism

Financial Sentiment Tracker, July 1, 2012 – June 4, 2013

June 7, 2013. New York – The tone of media coverage on the U.S. economy has continued to trend upward and has been reflected in the Consumer Confidence Index, while the European economy continues to garner negative coverage, according to new research from Media Tenor International.

“The media optimism regarding the U.S. economy has been cautious, but improving news on employment has helped the trend despite ongoing concerns about the impact of the sequester,” says Racheline Maltese, a researcher at Media Tenor. “Things are much more grim for Europe where the media tone, and subsequently the Economic Sentiment Index, has been unable to break out of a long-term negative range.”

This negativity on Europe is also reflected in coverage of the currency markets according to Media Tenor. “Currencies are garnering increased visibility from business media,” says Maltese, noting that quoted analyst statements have begun to consistently address a wider range of currencies than in the past. “For most currencies, the tone is optimistic, or at least neutral, but financial analysts are strongly negative on the euro and expect the currency to drop significantly against the dollar over the next year.”

The broader optimism however has continued to take its toll on gold according to Media Tenor, as profit-taking from earlier peaks has set in and the tone of quoted analyst statements on the metal have trended downward. “The better the news gets for other investment objects, the less gold is in focus for the media or praised as a defensive strategy,” Maltese says.

For additional information, or to schedule an interview with Media Tenor, please contact Racheline Maltese 646-263-3731, This email address is being protected from spambots. You need JavaScript enabled to view it..