Saturday, July 28, 2012
Global & USA Consumer Confidence Declines
Nielsen Global Online Consumer Confidence Survey
Global Consumer Confidence Declines
Global consumer confidence declined three index points to 91 in Q2 2012 amid a worsening Euro zone crisis, lackluster U.S. job growth and China’s downward GDP revision for 2012, according to consumer confidence findings from Nielsen, a leading global provider of information and insights into what consumers watch and buy. Consumer confidence levels above and below a baseline of 100 indicate degrees of optimism and pessimism. Therefore, the current reading indicates a degree of pessimism.
“Consumers are clearly proceeding with caution in relation to their spending intentions,” said Dr. Venkatesh Bala, chief economist at The Cambridge Group, a part of Nielsen. “Consumer confidence lost momentum in the second quarter as global events, including a worsening Euro zone crisis coupled with slowing growth rates in China and India, impacted financial markets and consumer sentiment in many parts of the world. As renewed volatility entered global markets, consumers reacted by reining in spending and consumption intentions.”
● Discretionary spending and saving decreased globally across all sectors
● More than two-thirds (67%) of respondents changed spending habits to save on expenses
● Concern for the economy and job security remained top worries among global respondents
● More than half (57%) of global respondents said they are in recession and half of those believe it will continue for another year
● Indonesia reported the highest consumer confidence index in the survey
Global Online Consumer Confidence The current reading of 91 (-3) is above the chart average (90.4).
Global Online Consumer Confidence by Region Asia Pacific continues highest at 100 (-3), followed by Middle East/Africa at 98 (+1), and Latin America at 96 (-2). North America is next at 88 (+4). Europe continues trailing at 73 (+1).
Confidence by Country Indonesia 120 (+2) is now the most optimistic country, followed by India 119 (-4). Next are Philippines 116 (-2), Saudi Arabia 115 (-4), Malaysia 111 (+4), United Arab Emirates 108 (+3), Brazil 106 (-4), and China 105 (-5). Hungary continues as the most pessimistic country at 30 (-2), followed by Portugal 40 (+1), Italy 41 (-4), Greece 43 (+6), Croatia 45 (nc), South Korea 50 (+1), and Spain 52 (-1).
U.S. Consumer Confidence Consumer confidence in the U.S. plunged -5 to 87 and is mid-tier worldwide. Previous readings were 92 in Q1 2012, 83 in Q4 2011, 77 in Q3 2011, 78 in Q2 2011, 83 in Q1 2011.
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