Lisbon, Portugal street

Portugal Consumer Confidence August 2021

Portugal: Consumer confidence reaches pre-pandemic levels, economic sentiment remains steady in August

Consumer confidence soared to minus 11.9 in August, from minus 17.0 in July, hitting the highest level since February 2020, just before the pandemic hit. Among the components with the biggest improvements, consumer’s expectations on the general economic situation for the coming year were at the top, amid the ongoing swift inoculation campaign. In addition, household’s views also became less pessimistic on both past and future financial situation.

In another note, the three-month moving average of the economic climate indicator came at July’s 1.8. Notably, the underlying monthly series improved, but July’s lower performance dragged down the print. While sentiment within sectors like manufacturing deteriorated, businesses involved in trade and services became more upbeat. In addition, construction firms turned less pessimistic.

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