Mexico: Consumer confidence moderates in February
March 5, 2012
In February, the consumer confidence index elaborated by the statistical institute (INEGI) fell to 93.6 points from 95.4 points in January. The figure came in below market expectations that had the index at 95.0 points. Owing to the monthly decline, the index now sits only 1.5% higher than in the same month last year (January: +3.4% year-on-year). On a monthly basis, consumer sentiment declined 0.1% in seasonally adjusted terms, which contrasted the vigorous 2.6% rise seen in January. The main factor behind the monthly drop was a sharp reversal in households' willingness to purchase durable consumer goods, which plunged 19.9% month-on-month in February, after soaring nearly 25% in the previous two months. Respondents were more pessimistic about the current state of the overall economy as well as about their own household's future situation. That said, despite the drop expectations for the households' future situation was the only component above the 100-point threshold that separates optimism from pessimism.