Netherlands: Consumer confidence reaches highest level since July 2011
January 21, 2014
The seasonally-adjusted consumer confidence indicator produced by the Central Bureau of Statistics (CBS) increased from minus 17 points in December to minus 12 points in January. Although 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, consumers' less-negative outlook on the economic climate drove the improvement. Households were also somewhat less negative about their future financial situations. Moreover, consumers' willingness to buy increased in January. The general improvement in confidence indicates a less pessimistic outlook for private consumption in the near term.
FocusEconomics Consensus Forecast panelists see private consumption falling 2.0% in 2014, which is unchanged from last month's estimate. In 2015, the panel expects private consumption to contract 0.8%.
Author: Carl Kelly, Economist