Italy: Consumer confidence rebounds on better future expectations
The consumer confidence index released by the National Institute of Statistics (ISTAT) rose to 116.2 points in June from a revised 113.9 points in May (previously reported: 113.7). The reading came in far above market expectations.
June’s reading mainly reflected better future expectations. It was strongly affected by a sharp improvement in consumers’ expectations on the future general economic situation, which hit a near one-and-a-half-year high, and in their expectations on their future personal economic situation, which reached an over 15-year high. Moreover, consumers’ willingness to buy big-ticket items and their unemployment expectations improved. On the other hand, consumers’ assessments of the current general economic situation and of their personal economic situation continued to worsen, although to a much lesser extent than in May.
The results of the survey suggest that consumer sentiment was strongly and positively influenced by the formation of the new government—which put an end to three months of political stalemate—and by the first measures adopted by the government to strengthen control on migrant arrivals.