Brazil: Consumer confidence rises to the highest level on record
July 26, 2011
The consumer confidence index published by the Getulio Vargas Foundation (FGV, Fundacao Getulio Vargas) increased a seasonally adjusted 5.4% over the previous month to reach 124.4 points in July, the highest level since the index commenced in September 2005. The higher confidence reading reflected a more optimistic assessment of future expectations (+4.9% month-on-month s.a.) as well as the current economic situation (+4.3% mom s.a.). The FGV confidence index has a range spanning from 1 to 200 points, where 100 points is considered neutral. With the optimism of the consumers reaching new highs, it bodes well for solid growth in private consumption in the remainder of the this year.