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- German consumer confidence index fell more than expected in October
German consumer confidence index fell more than expected in October
According to the GfK Consumer Climate Study, the optimism of German consumers is fading noticeably in October. Around three quarters of consumers currently assume that COVID-19 poses a major or very major threat, and about half are concerned or very concerned about their personal future. Both economic and income expectations as well as propensity to buy have had to take losses. GfK is thus forecasting a figure of -3.1 points for November 2020, 1.4 points lower than in October of this year (revised -1.7 points). Economists had expected a decrease to -2.8.
"The rapid increase in infection rates is leading to a tightening of restrictions brought on by the pandemic. Fear of a second lockdown, should infections get out of control in the coming winter months, is also increasing," explains Rolf Bürkl, GfK Consumer Expert. "As a result, the in parts significant recovery we saw in consumer sentiment at the start of the summer has come to a standstill and is causing the consumer climate to plummet once more. An increase in propensity to save in October has also contributed to this."
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