At -29, the consumer confidence indicator in August stands far below its long-term average over the past two decades (-6). The indicator reached an all-time high (36) in January 2000 and an all-time low (-41) in March 2013.
|Year||Month||balance (average of the component questions)|
Economic sentiment deterioratedConsumers’ sentiment about the general economic situation has deteriorated. This component indicator stands at -59, down from -51. Opinions on the economic situation over the past twelve months and for the next twelve months have both deteriorated.
Willingness to buy more or less the same
Consumer’ willingness to buy stands at -9, up from -10 in July. Opinions on their expected financial situation for the next twelve months were less negative. On the other hand, consumers were slightly more pessimistic about their financial situation over the past twelve months. Furthermore, they consider this time slightly more unfavourable to make large purchases than in July.
Consumers extremely gloomy about future unemployment
In August, consumers were more pessimistic about future unemployment than in July. Approximately 89 percent of the respondents expected unemployment to rise, whereas 6 percent anticipated a drop. As a result, the balance of positive and negative answers stands at -83, the lowest number in over seven years. The all-time low was -88 in March 1993.
|Year||Month||balance (balance % positive and % negative answers)|
Coronavirus has had a significant impact on consumer confidence. In order to arrive at proper series estimates in terms of level and seasonal influences, CBS has made some adjustments to its time series model. This results in slightly reduced accuracy of the data.