Chile: Consumer confidence remains in positive territory in January
February 8, 2018
The Adimark GfK consumer confidence index (IPEC, Índice de Percepción de la Economía) dipped slightly from December’s multi-year high of 53.1 to 51.5 in January, ending a run of ten consecutive monthly increases. However, the index remained above the 50-point threshold separating optimism from pessimism among consumers for only the second time since May 2014.
January’s dip was caused by a less positive outlook regarding the current situation of the country, economic expectations over the next 12 months, economic stability over the next five years and consumers’ current personal situation. On the other hand, consumers grew markedly more willing to make major household purchases. This was likely influenced by lower inflation expectations among consumers, following a string of limp inflation readings in recent months, and bodes well for private consumption going forward.
Author: Oliver Reynolds, Economist