Global commercial real estate sentiment has deteriorated significantly this year in the aftermath of the sharp shift in US policy and higher-for-longer interest rates, according to Oxford Economics’ new suite of sentiment indices developed with Penta Group. The indices also suggest sentiment is converging across locations and sectors, after periods of significant divergence in the past few years.

In addition, these indices provide a high frequency indicator and real-time insights into global real estate investment sentiment by analysing more than 370,000 global data sources using advanced natural language processing (NLP) models trained on more than 14 years of data.

Oxford Economics has also created a “hot or not” ranking, using Penta’s proprietary sentiment data to create an exponential moving average (EMA) score. Oxford Economics has normalised these scores to show those above 50, indicating positive sentiment, and those below 50, highlighting negative senti