Euro zone economic sentiment was better than expected in May, rebounding after 10 consecutive monthly falls.

This was thanks to more optimism in the biggest sector, services, but also in industry and among consumers, European Commission data showed today. 

The Commission's economic sentiment indicator for the 19 countries sharing the euro rose to 105.1 in May from 103.9 in April, beating market expectations of no change. 

Services sentiment improved to 12.2 from 11.8, beating expectations of a decline to 11.0 and the mood in industry defied expectations of no change to rise to -2.9 from -4.3. 

The index for consumers rose to the expected -6.5 from -7.3.

But separately, the Commission's business climate indicator, which helps point to the phase of the business cycle, continued to fall, declining to 0.30 in May from 0.42 in April.

This was well below market expectations of a decline to 0.40.