The consumer confidence fell 2.8% in June and registered the first decline since January, after four consecutive months of growth. This was reflected in the Consumer Confidence Index (CCI) which is disseminated every month by the Torcuato Di Tella University.
In December and January, the first two months of President Javier Milei’s administration, this indicator had fallen sharply: 16.2% and 10.6% respectively. Then, between February and May, the ICC recovered, but this month it was back in the negative.
In the year-on-year comparison, The June 2024 value of the ICC was 10.91% below the same month of 2023, with clear differences by subindex: a drop of 0.68% for Macroeconomic Situation, 2.64% for Personal Situation and 38.58% for Durable Goods and Real Estate.
According to the academic survey, in June -unlike May- falls were observed in Personal Situation and Macroeconomic Situation subindexes (-2.3% and -8.93% respectively).
However, the Durable Goods and Real Estate subindex continued to rise, with a monthly increase of 16.70%.
Another differentiating aspect compared to previous months was that the “Present Conditions” increased 10.64%, while “Future Expectations” contracted 7.72%.
Consumer Confidence Index: Analysis by region and socioeconomic level
In regional terms, the CCI rose 4.33% during June in the inside the countrybut cThere were 3.83% and 14.04% in Greater Buenos Aires (GBA) and the City of Buenos Aires (CABA), respectively (always compared to May).
Taking the cumulative total over a year, the interior continued to show the greatest improvement in the ICC, with an interannual variation of 9.46%; CABA had an interannual fall of 14.88% and GBA also fell, by 21.08%.
By income levels, The academic report indicated that the High-income households reported a 1.9% drop compared to May and 14.15% compared to June 2023; Those with low incomes showed a monthly drop of 1.7%, and 5.3% compared to June 2023.
By educational level, the behavior in June was substantially different from that in May: during the past month, individuals with high incomes reported a monthly increase in the CCI of 4.4%while the low-income segment had an increase of 0.5%.
However, in June, both segments reflected a drop, of 1.9% for high incomes and 1.7% for low incomes.
In the year-on-year comparison, the differences are more notable: In lower-income households, trust decreased 5.3%, while in high-income households it fell 14.1%.
consumers2.png
Source: Ambito
