Brazil: Consumer confidence picks back up in November
November 25, 2013
In November, the consumer confidence index published by the Getulio Vargas Foundation (FGV, Fundacao Getulio Vargas) rose a seasonally-adjusted 1.0% over the previous month, which contrasted the 2.2% decrease registered in October. The index increased to 112.8 points, but the improvement did not make up for the loss incurred the previous month. November's result reflects that households' assessment of the current economic situation is slightly more positive and they have higher expectations for the future of the economy.
The FGV confidence index range spans from 1 to 200 points, where 100 points is considered neutral. Consumer confidence remains above the 100-point threshold, which suggests sustained growth in private consumption going forward.
LatinFocus Consensus Forecast participants expect private consumption to expand 2.2% in 2013, which is up 0.1 percentage points from last month's forecast. For 2014, panelists expect private consumption to increase 2.3%, which is unchanged from last month's projection.
Author: Carl Kelly, Economist