According to a recent study, the business expectations in the eurozone have shot up to their highest levels in two years, adding a certain appeal to exchange traded funds (ETFs) that target the region.

The 16-nation eurozone’s private sector posted a record move today, and purchasing managers say that the economy stabilized this month. William L. Watts for MarketWatch reports that the preliminary Markit composite purchasing managers’ index for the eurozone rose to a 15-month high of 50 in August, from 47 in July. The record monthly jump exceeded economists’ expectations for a rise to 48.3.

August officially ended the 14-month drag of readings under 50, signaling a beginning to a new pattern. Reuters reports that the end to the contraction is indicative of improving economic conditions.

There are numerous ways to play the eurozone. Several single-country ETFs exist for investors who want to bet on certain specific markets, such as France or Germany. For broader exposure that allows investors to access the growth of the region as a whole, there are a few European  ETFs on the market, as well.

Be sure to look at the underlying holdings to be sure you’re getting the country exposure you want:

  • iShares MSCI EMU Index (EZU): up 13% year-to-date

  • SPDR DJ Euro STOXX 50 (FEZ): up 12.3% year-to-date

For more stories about Europe, visit our Europe category.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.