Argentina: Consumer confidence at over one-year high in May, but remains entrenched in pessimistic terrain
May 24, 2019
The Universidad Torcuato di Tella (UTDT) consumer confidence index rose to 36.5 points in May from 34.4 points in April, marking the best result in 13 months. Therefore, the index moved slightly closer to the 50-point threshold that separates pessimism from optimism among consumers, below which it has been for over a year.
May’s print reflected an improvement in all three sub-components of the index. Consumers’ assessments of their personal finances improved slightly, while consumers’ willingness to purchase big-ticket household items strengthened notably, although it remained at abysmal levels. Lastly, their outlook on the broader short-term macroeconomic situation improved markedly.
Argentina Private Consumption Forecast
Panelists surveyed for the LatinFocus Consensus Forecast see private consumption dropping 2.5% in 2019, which is unchanged from last month’s forecast. For 2020, panelists expect private consumption to increase 2.5%.