Hungary: Consumer confidence deteriorates further in December
December 28, 2011
In December, the GKI-Erste economic sentiment index dropped to minus 24.6 points from minus 23.2 points in November. The decline was mostly the result of consumer confidence sliding further, although business sentiment also moderated slightly. Consumer sentiment dropped from minus 49.5 points in November to minus 53.3 points in December, which represents its lowest level since September 2009. According to GKI, ?households assessed their financial situation and savings capacity adversely for the next 12 months?, which approached its minimum recorded in summer 2009. Nevertheless, respondents stated they were more likely to purchase high-value durable goods. Meanwhile, business sentiment moderated from minus 14.0 points in November to minus 14.5 points in December. The decrease was the result of a worse assessment in trade and services, which was more than offset an better expectations in industry and construction.