Chile: Consumer confidence falls back in March, dices with negative territory
April 6, 2018
The Adimark GfK consumer confidence index (IPEC, Índice de Percepción de la Economía) dipped for the third consecutive month in March, to 50.0 from 51.1 in February. As a result, the index now straddles the 50-point threshold separating optimism from pessimism. Sentiment has soured so far this year, after surging in December amid the election of Sebastian Piñera as president. This is possibly a result of a softer labor market; the unemployment rate was up quarter-on-quarter in the December-February period.
March’s dip was caused by a less positive outlook regarding the country’s current economic situation and economic expectations over the next twelve months. Households also grew less willing to make major purchases. On the other hand, consumers grew slightly more upbeat regarding their current personal economic situation and economic stability over the next five years.
Chile Private Consumption Forecast
Panelists participating in the LatinFocus Consensus Forecast expect private consumption to grow 3.3% in 2018 and 3.3% again in 2019.
Author: Oliver Reynolds, Economist