Netherlands: Consumer confidence at highest level since July 2011
November 20, 2013
The seasonally-adjusted consumer confidence indicator produced by the Central Bureau of Statistics (CBS) increased from minus 27 points in October to minus 18 points in November. While this is the highest reading since July 2011, the index remains below the 0-point threshold, which indicates that consumers are pessimistic.
According to the CBS, the improvement in the consumer confidence index was comprehensive. Consumers were less negative compared to previous months regarding the economic climate in the past 12 months. Moreover, for the first time since the Spring of 2011, there are more people with an optimistic view than a pessimistic one regarding the climate in the next 12 months. Households were less negative about both their past and future financial situations, and their willingness to buy also improved in November. Overall, the improvement indicates a positive outlook for private consumption in the near term.
FocusEconomics Consensus Forecast panelists see private consumption falling 1.9% in 2013, which is down 0.4 percentage points from last month's estimate. In 2014, the panel expects private consumption to contract 0.6%, which is down 0.2 percentage points from last month's projection.
Author: Carl Kelly, Economist