The propensity to consume therefore remains buoyant. On the one hand, the stable employment market is giving consumers the planning security they need when making larger purchases and spending high amounts of money. On the other hand, real income growth combined with falling petrol and heating oil prices have given consumers greater financial leeway to spend more money. This willingness to consume has been especially heightened by the fact that consumers still have little propensity to save money, as doing so remains unattractive from their point of view.
Consumer mood in Germany has changed only slightly in January, while the consumer climate has remained stable. Following a value of 9.4 points in #
Following a value of 9.4 points in January, the overall indicator is still forecasting 9.4 points for February 2016. This means that when viewed as a whole, the consumer climate has stabilized at a high level.
The consumer climate has therefore been able to withstand the recent growth in risks it is facing. However, in the next few months the escalating terror threat and the rising fears among certain groups of the population that Germany could eventually become overstretched by the persistently high influx of refugees and asylum seekers may cause consumer confidence to wane in the long term. In turn, this would have a lasting impact on the consumer climate.
The GfK Consumer Climate MAXX survey is based on approximately 2,000 consumer interviews conducted each month on behalf of the European Commission. (SH)
ALCHEMPro News Desk – India
marketing@alchempro.com
