Consumer confidence fell 0.4% in December – Inegi

Consumer confidence fell 0.4% in December – Inegi

Consumer confidence fell in December compared to November, data shows National Institute of Statistics and Geography (Inegi) and Bank of Mexico (Banchico).

Thus, the sentiments of Mexicans, measured through Consumer Confidence Indicator (CCI), It was 47.3 points.

This represents a decrease of 0.4 points compared to the previous month. However, in annual comparison, an increase of 3.9 points was recorded.

The change in the final month of 2023 was driven by monthly declines in four of its five components, according to Inegi and Banxico.

Indicators by category

The biggest monthly drop was in the measure that measures household members’ expected economic position over the next 12 months, compared with the current reading, which was 0.7% below November. This is 1.8% higher than December 2022.

In second place were expectations regarding the expected economic situation of Mexicans in the country within 12 months compared to the current one, which increased by 1.5 points month-on-month, but grew by 4.7 points year-on-year.

In turn, their assessment of the economy in their homes compared to a year ago was down 0.1 points over the past month, but up 3.9 from 2022.

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Finally, the section assessing the current economic situation in the country decreased by 0.3% compared to the situation a year ago, while in annual comparison it increased by 2.9%.

For its part, the component reflecting the current ability of household members, compared to last year, to purchase furniture, a TV, a washing machine, other household appliances, among other things, remained at a level similar to that recorded in November 2023.

Consumer Confidence and Inflation

On December 21, Inegi reported that general inflation Mexico’s growth rate accelerated in the first half of December to 4.46% year-on-year, up from 4.25% in October when it hit its lowest level since March 2021.

For its part, inflation underlying, Considered the best metric for measuring price path because it excludes high-volatility products, it fell to 5.19%, the lowest level since October 2021.

In December, Banxico kept its benchmark rate at an all-time high of 11.25%, where it had been since April, but in its monetary policy message it left open the possibility of future cuts, saying that while progress had been made in slowing inflation , some problems still remain.

Source: Aristegui Noticias