Never so high. In July, the business confidence climate index improves, reaching the highest value in the entire historical series (the index has been calculated since March 2005). The consumer confidence index also rises, registering a maximum since September 2018. The photograph comes from Istat, which specifies: “Services recorded a marked increase in confidence, significantly exceeding the levels prior to the crisis”. The climate of trust in Italy is growing while in neighboring European countries it suffers a setback.
For companies, the improvement for all sectors
As far as consumer confidence is concerned, Istat explains that the growth in July “is mainly driven by the marked improvement in opinions on both the general economic situation and on the personal one” while expectations are slightly down. In particular, all components of the consumer confidence index are growing with the exception of the “future climate”, which is slightly down. As regards companies, on the other hand, an improvement in confidence is estimated in all the sectors surveyed. In construction, services and retail trade, the index increases significantly while the increase is more contained in the manufacturing sector.
Loading…
Confidence is dropping in France
The situation in France is somewhat different. Confidence among French consumers fell in July. The relative index, calculated by the French National Statistical Office (INSEE), was indicated at 101 points from 103 points in the previous month (revised from 102 points). The figure is lower than the consensus estimates which indicated 102 points, but confirms that the indicator has returned above the long-term average (100 points).
Stable in Germany, business concerns are rising
As for Germany, the confidence of German consumers, increasingly willing to spend, remained stable in August, despite having a less positive estimate on the economic outlook than a month ago, given the fears about the increase in infections from Covid- 19. After more than two months of sharp decline, Covid-19 infections have increased since early July, in particular due to the spread of the Delta variant. A second poll released Monday by the Ifo institute showed an unexpected decline in German business confidence in July, due to concerns over the supply chain and rising coronavirus infections, reporting the first contraction of the index since January.