Following the sharp decline in July, the Bloomberg HT Consumer Confidence Index continued to experience a significant decrease in August.
In August, the Bloomberg HT Consumer Confidence Index dropped by 4.35 percent compared to the previous month, reaching a value of 58.84.
When looking at the details of the index, a decline was observed in both the consumer’s perception of the current situation and their expectations for the future.
The rapid increase in inflation appears to be the primary reason for the decline in consumer confidence. Particularly, the significant rise in gasoline and diesel prices in recent times is seen as a significant contributing factor to the decrease.
In this context, the Bloomberg HT Consumer Expectations Index declined by 7.25 percent compared to the previous month, reaching a value of 64.28. On the other hand, the Bloomberg HT Consumer Sentiment Index, which measures the suitability of the current period for the purchase of durable goods, automobiles, and housing, increased by 6.46 percent, reaching a value of 60.82.
Despite the decline in the perception of the current situation and expectations for the next 12 months, the limited decrease in consumer sentiment and its increase relative to the leading index suggest that demand has maintained a certain level of strength, likely driven by inflationary expectations.
