Netherlands: October consumer confidence at highest level in more than two years
October 18, 2013
The seasonally-adjusted consumer confidence indicator produced by the Central Bureau of Statistics (CBS) increased from minus 33 points in September to minus 27 points in October. The reading is the highest in more than two years, although the index remains below the 0-point threshold, which indicates that consumers are pessimistic.
According to the CBS, all components of the consumer confidence index improved. Consumers' views of the economic climate were less negative compared to previous months, particularly regarding the climate in the next 12 months. Consumers were also slightly less negative about their past and future financial situations. Their willingness to buy also improved in October. Overall, the improved consumer confidence index indicates a positive outlook for private consumption in the near term.
FocusEconomics Consensus Forecast panelists see private consumption falling 1.9% in 2013, which is down 0.4 percentage points from last month's estimate. In 2014, the panel expects private consumption to contract 0.6%, which is down 0.2 percentage points from last month's projection.
Author: Carl Kelly, Economist