Czech Republic: Economic sentiment falls for fourth straight month
April 26, 2011
In April, the economic sentiment index, published by the National Statistics Institute, fell to 91.6 points from 92.6 points observed in March. The April result represented the fourth consecutive month of declining economic sentiment. A year-on-year comparison has the index sitting just 1.1 points above the level witnessed in the same month last year, falling further below the 100-point threshold that separates optimistic from pessimistic sentiment. The monthly fall reflected a decline in the sub-index of business confidence, mainly as a result of weaker business prospects in the manufacturing and services sectors. In contrast, consumer sentiment improved slightly over the previous month, after the sub-index marked the sharpest decline since October 2008. The monthly improvement in consumer confidence reflected respondents' brighter assessment about the future economic prospects for the year ahead, as well as a more positive assessment about their own financial standing.
Author: Ricardo Aceves, Senior Economist