As the economic climate has continued to worsen in Europe and the United States, Canadians’ confidence in the economy continued to drop in September, according to the TNS Canadian Consumer Confidence Index levels released this morning.
The index fellmore than a point from 97.6 to 96.4 in September, after dropping two points in August. (See “Canadians “spooked” by market chaos” – BIV Business Today, August 19.)
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“Confidence is continuing to drop even though the Canadian economy continues to perform rather well,” Norman Baillie-David, vice-president of TNS Canada and director of the marketing and social research firm’s monthly tracking study, said in a press release.
“We are reacting to the world situation rather than our own,” he said. “The fear is that falling confidence will halt spending and that tends to be a self-fulfilling prophecy.”
TNS also registered a drop on its Present Situation Index, which measures how people feel about the economy right now. The index dropped almost four points to 95.2 in September from 99 the previous month.
TNS also noted a small slide on its Expectations Index, which measures people’s outlook for the economy six months from now. The index dropped a half point in September to 98.4 from 99.6 after falling six full points in August.
Jenny Wagler
Twitter: JennyWagler_BIV