Denmark: Consumer confidence edges up to seven-month high in February
February 20, 2018
The consumer confidence index released by Statistics Denmark inched up to 8.5 points in February from 8.2 points in January, reaching a seven-month high. It thus moved higher above the crucial zero-point mark that separates optimism from pessimism among consumers, where it has been since January 2017.
Looking more closely at what drove the upturn in consumer sentiment, consumers grew particularly more optimistic regarding their personal financial situation over the next 12 months, as well as their ability to save over the same period. They also became less pessimistic regarding the 12-month outlook for the job market, and were slightly more willing to make big-ticket purchases at present and in the coming year.
However, their assessment of the country’s general economic outlook over the next 12 months deteriorated, and their perception of price developments over the coming year was markedly less upbeat, which offset part of the gains made in other components of the index. Lastly, consumers were also markedly more pessimistic regarding price developments over the last 12 months, and slightly more downbeat about their personal financial situation in the same period.
Denmark Private Consumption Forecast
FocusEconomics Consensus Forecast panelists expect private consumption to expand 2.2% in 2018, which is unchanged from last month’s forecast. For 2019, panelists expect consumption to also grow 2.3%.
Author: Joffrey Simonet, Economist