Chile: Consumer confidence dips again in February
March 13, 2017
The Adimark GfK consumer confidence index (IPEC, Índice de Percepción de la Economía) dropped from 39.2 points in January to 37.0 points in February, marking a second monthly decline and putting paid to the recovery in sentiment observed towards the end of last year. The index remains entrenched below the 50-point threshold separating pessimism from optimism, where it has been since May 2014.
February’s decline was driven by worsening sentiment in all sub-categories of the index, with consumers becoming significantly more pessimistic regarding the country’s economic prospects over the next twelve months and its economic stability over the next five years. Consumers also grew mildly less positive about their personal economic situation and the country’s current economic situation, and became less willing to purchase household items. February’s figure corresponds to a month which saw forest fires continue to devastate large swathes of territory in the central-southern area of the country, severe flooding and strike action at the country’s largest copper mine.
Author: Oliver Reynolds, Economist