Consumer confidence hit a record high in March, showing signs of improving sentiment toward local economic fundamentals, according to a survey released by National Central University on Friday.
The local consumer confidence index (CCI) for March hit a record high of 91.13, marking the first time in history that the index has risen above 90. A reading above 100 generally indicates optimism, while a reading under 100 signals a more pessimistic outlook. This shows that despite improving consumer confidence, consumer’s overall outlook remains relatively pessimistic.
Five out of the six CCI sub-indices showed signs of improvement. Those five were: confidence in employment, the local business climate, family finances, consumer prices, and the timing for investment in the equity market. The only index that fell was confidence in the timing for buying durable goods.
National Central University said that the slip in consumer confidence in durable goods is a reflection of the wait-and-see sentiment in the real estate market. This attitude emerged after the Cabinet’s announcement of proposed housing and real-estate tax reforms.