Brazil: Businesses confidence declines to lowest level in nearly five years
April 30, 2014
Business sentiment fell again in April according to the Getulio Vargas Foundation (FGV, FundaÃ§ao Getulio Vargas) business confidence indicator. The index decreased a seasonally-adjusted 0.6% over the previous month and now rests at 95.6 points, down from the 96.2 points tallied in March. April's result marks the lowest level since June 2009. The index is now even further below the 100-point threshold, which signals that businesses are more pessimistic than optimistic.
Firms' more negative assessment of the situation in the coming months was the main driver behind the decline and more than offset a more positive view regarding the current situation for businesses.
LatinFocus Consensus Forecast participants see fixed investment expanding 1.7% in 2014, which is unchanged from last month's forecast. For 2015, panelists expect fixed investment to expand 2.9%.