Gfk Consumer Confidence Unchanged, But Still Weak

AUG GFK CONSUMER CONFIDENCE -27; JUL -27

AUG GFK ECONOMIC SITUATION NEXT 12M -42 VS -41 VS JUL

AUG GFK MAJOR PURCHASES INDEX -25 VS -26 JUL

AUG GFK SAVINGS INDEX +21 VS +21 JUL

Consumers remain cautious in Aug, with sentiment stubbornly stuck at -27 since the end-Jun flash result. The assessment of the general economic conditions in the next 12 months fell 1pt as did the assessment of the past economic conditions. Households's opinion about their past financial situation fell 1pt to -5, while consumers are more confident about their future financial situation (+1pt to 1). The major purchases index ticked up 1pt to -25 in Aug, but is 26pt lower than it was a year ago. Moreover, economic headwinds pose a significant downside risk for retailing going forward. The savings index registered at July's level of 21 in Aug. The survey noted that job security remains the biggest concern of consumers with the furlough scheme set to end soon, suggesting a downside risk for consumer sentiment.