Peru: Consumer confidence picks up in June
June 25, 2014
In June, the consumer confidence indicator published by APOYO Consultoria increased from May’s 51 points to 53 points. June’s gain pushed the index a bit further above the 50-point threshold that separates optimistic from pessimistic territory. The index has been bouncing up and down for the past seven months, although confidence is at roughly the same level as at the start of this year.
All of the sub-components that make up the indicator improved in June. The most noteworthy gain was recorded in households’ perceptions regarding employment prospects, which swung back into positive territory after dropping below it in the previous month. The largest increase was registered in consumers’ outlook on carrying out household improvements.
Optimism regarding the overall economy rose across all socioeconomic levels. Individuals in the low-income bracket were more optimistic, particularly in terms of the labor market as confidence in this category rose to the highest point since October 2013. According to APOYO, this suggests that employment in small and mid-sized businesses is continuing to grow.
Author: Carl Kelly, Economist