Germany: Consumer confidence expected to fall in November on lockdown fears
October 22, 2020
Consumer confidence is expected to tumble to minus 3.1 in November from minus 1.7 in October as sentiment took a hit from the ongoing pandemic and renewed restrictive measures.
The projected downtick in the headline reading came on the back of marked declines in economic and income expectations in October—backward-looking data for October was released at the same time and underpins the November estimate. Economic expectations nosedived as consumers assess that the economic recovery began to slow amid the second wave of infections. As a consequence, income expectations also dropped as renewed restrictions to curb the spread of the virus weigh on the economy and thereby, employment and income. Furthermore, propensity to buy dipped as well.
Author: Jan Lammersen, Economist