Brazil: Consumer confidence tumbles to new record low in October
October 28, 2015
In October, the consumer confidence index published by the Getulio Vargas Foundation (FGV, Fundaçao Getulio Vargas) fell a seasonally-adjusted 0.8% over the previous month, which followed the notable 5.3% decrease recorded in September. As a result, the index dropped from the 76.3 points tallied in September to 75.7 points in October, a new record low. The decline was driven by consumers’ more pessimistic views regarding the current economic situation compared to the previous month. However, consumers’ views regarding the future economic situation were unchanged.
The FGV confidence index spans a range from 1 to 200 points, where 100 points is considered neutral. As a result of the monthly drop, consumer confidence fell deeper into pessimistic territory. The index has followed a broadly-based downward trend from mid-2012 through the present.