Argentina: Consumer sentiment plunges to lowest level in more than three years in May
May 22, 2013
In May, the Universidad Torcuato di Tella (UTDT) consumer confidence index fell 5.5% over the previous month to 41.7 points. The result followed the 6.1% drop recorded in April and marked the worst reading in more than three years. As a result, consumer sentiment moved further below the 50-point threshold that separates optimism from pessimism.
The deterioration was broad-based, but was mostly driven by households' more pessimistic expectations regarding the general economy in the short run (12 months). In contrast, households' willingness to purchase durable goods improved compared to April.
LatinFocus panellists see total consumption growing 3.3% this year, which is down 0.1 percentage points from last month's forecast. Next year, panellists expect consumption to expand 3.2%.
Author: Armando Ciccarelli, Head of Data Solutions