Consumer confidence improves, but far from optimism, says association

The Brazilian trader is still far from being optimistic again, in the assessment of the São Paulo Trade Association (ACSP).

The National Confidence Index, prepared by the entity, remained stable in December, with 74 points. The INC considers that Brazilians are optimistic about consumption when the survey exceeds the level of 100 points.

The chief economist of ACSP, Marcel Solimeo, explains that, while the restrictions of the pandemic have eased, the limitations caused by high inflation have increased.

“Confidence has improved slightly compared to last year, but it is still a long way from moving to the stage of optimism”, analyzes Solimeo. “Inflation has been punishing the lower income strata a lot due to the price of food, cooking gas and electricity,” he adds.

Marcel Solimeo also recognizes that purchases of higher value products, which are usually paid in installments, have been impacted by consecutive increases in interest rates.

On the other hand, Solimeo understands that São Paulo merchants are optimistic about overcoming the pandemic.

The economist assesses that entrepreneurs no longer have a retreat from the flexibility already allowed by the advance of vaccination.

“The trade is betting that that phase of closing or reducing hours is already over, even with the threats of this new variant. I believe that the health strategy now is different and, even if 2022 is not a brilliant year, that at least everyone can work more calmly to recover everything they lost in the pandemic,” analyzes the economist.

This Wednesday (22), the Getúlio Vargas Foundation (FGV) released the Consumer Confidence Index, which rose 0.6 in December and reached 75.5 points.

The FGV survey also considers the level of 100 points as neutrality in the perception of trust.