Dip in Consumer Confidence Over Economy

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Business in Thunder Bay

Bloomberg Nanos Weekly Consumer Confidence Tracking
TORONTO – BUSINESS – The Bloomberg Nanos Canadian Confidence Index realized negative pressure over the past week largely a result of dampened perceptions on the future strength of the Canadian economy.
“The proportion of Canadians who believe that the Canadian economy would be weaker in the next six is now at one in three, a level not seen since April 2016” said Nanos Research Group Chairman Nik Nanos. “This compares to one in five Canadians who believe the economy will be stronger.”

“The two-week dip in Canadian household expectations seems a bit at odds with the latest data releases — which include positive surprises in trade, the housing-market and the labour market — and the recent Bank of Canada business survey that indicates increased investment intentions and further employment opportunities. This disconnect might suggest households’ growing impatience with the speed of the fiscal stimulus as well as increased uncertainty during the formation of the new U.S. administration”, said Bloomberg economist Robert Lawrie.

The BNCCI, a composite of a weekly measure of financial health and economic expectations, registered at 56.25 compared with last week’s 56.50 The twelve month high stands at 59.93.
The Bloomberg Nanos Pocketbook Index is based on survey responses to questions on personal finances and job security. This sub-indice was at 59.78 this week compared to 59.53 the previous week. The Bloomberg Nanos Expectations Index, based on surveys for the outlook for the economy and real estate prices, was at 52.72 this week (compared to 53.47 last week).

The average for the BNCCI since 2008 has been 56.59 with a low of 43.28 in December 2008 and a high of 62.92 in December 2009. The index has averaged 56.38 this year.