Consumer confidence in Brazil’s situation rose 1.5% in October, in comparison with September, according to the new Consumer Confidence Index, announced Monday, October 31, by the Getúlio Vargas Foundation (FGV).
The survey indicates an improvement in consumers’ expectations for the future, even though this does not translate into greater confidence in increased job offers and purchasing power.
"The political whirlwinds and deceleration of the economy cast a cloud of uncertainty over the economic scene," affirmed the coordinator of Conjunctural Research in the FGV, Aloísio Campelo.
According to Campelo, there is a perception that these problems are diminishing, but consumers demonstrate in the study that they are reluctant to take on the onus of expensive durable goods, such as cars and homes.
Of the 2,031 individuals interviewed in the country’s seven major capitals (Recife, Salvador, Brasília, Belo Horizonte, Rio de Janeiro, Porto Alegre, and São Paulo), which together account for 80% of the consumption of all Brazilian capitals, 8.1% said in October that they believe it will be easier to find a job in the next six months, as against 9.2% in September.
18.5% think that the situation will stay the same, as against 16.7% last month; and 73.4% believe that the situation will get worse, practically the same as the 74.1% who gave this reply in September.
According to the survey, 80% of the people who were interviewed said in October that they have no plans to buy a new car, compared with the 76% who gave this answer in September.
At the same time, the number of consumers who do not intend to buy a home declined from 91.7% in September to 90.9% in October.