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- France's consumer confidence indicator fell in April
France's consumer confidence indicator fell in April
According to the report from Insee, in April 2020, due to the sanitary crisis, households' confidence in the economic situation decreased sharply (compared to early March): the synthetic index lost 8 points, its most important decrease since the creation of the survey, in 1972. Standing at 95, it is now below its long term average (100). However, experts expected the index to fall to 83.
In April, the share of households considering it is a suitable time to make major purchases dropped substantially. The corresponding balance lost 43 points and hit its lowest level since the creation of the survey (-59 vs. -42 in December 1995). Moreover, households' opinion balance on their future financial situation decreased strongly. It lost 15 points (its strongest decrease since the creation of the survey) and fell to the level of May 2014. Yet, the balance related to their past financial situation gained 5 points and remains above its long-term average.
In April, the share of households considering it is a suitable time to save decreased. The corresponding balance lost 5 points and remains well below its long-term average. Households' opinion balance on their current saving capacity improved again. It gained 4 points and remains above its long-term average. On the contrary, households' opinion balance related to their expected saving capacity decreased slightly. It lost 2 points but stays above its long-term average.
Households' fears about the unemployment trend increased strongly in April. The corresponding balance increased by 42 points and hits a level that had not been reached since July 2015.
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