Consumer confidence in Mexico continued to deteriorate during July, as all the main expectations regarding the economic situation of households and the national economy worsened, reported the National Institute of Statistics and Geography (INEGI).
The consumer confidence indicator fell 1.7 points compared to June, in its third consecutive monthly decrease.
The five components that make up the indicator had a monthly fall. Confidence about the expected economic situation of household members within 12 months, compared to the current one, fell 2.1 monthly points and 4.9 points when compared to the same month in 2021.
Expectations also fell by 2 points regarding the country’s economic situation for the next 12 months. And more and more Mexicans believe that the current situation is worse than the one they experienced a year ago.
In addition, the confidence to buy goods such as furniture, televisions or appliances, compared to the situation a year ago, also fell 1.1 points.
Pessimism in the face of inflation and lack of savings
It is also observed that, in July, Mexicans expect more inflation for the following 12 months, since the complementary component that measures these expectations fell 1.3 points compared to June and 5.6 points compared to July 2021.
The perception of the personal economic situation, for the next 12 months, fell 1.9 points in its monthly comparison and 5 points compared to July 2021.
In addition to inflation, this could be due to the fact that Mexicans see fewer and fewer possibilities to save and fewer job opportunities in the future. Well, the two components that measure these aspects were reduced, 1.5 points and 2.2 points, respectively.
And, despite the imminence of summer and school vacations, the perception of Mexicans about their economic possibilities to go on vacation in the next 12 months worsened by 1.5 points, compared to the previous month.
