Italy: Consumer confidence deteriorates further
October 26, 2011
The index of consumer sentiment published by ISTAT plunged from 94.2 points in September (previously reported: 98.5 points) to 92.9 points in October, its lowest level since July 2008. The result marked a fifth consecutive drop in the index and contrasted market expectations of a 97.6 points reading. With the October dip, consumer confidence moved further below its long-term average of 113.0 points, which does not bode well for private consumption going forward. The October print reflected the country's deteriorating growth prospects, amid concerns of a looming debt crisis. Expectations on the general economy as well as the personal financial situation were both down by 4.0 points compared to the previous month. Against this backdrop, prospects for durable goods purchases deteriorated compared to the previous month (-1.0 points).
Author: Armando Ciccarelli, Head of Data Solutions