Brasilia, Brazil (4E) – Brazil’s key consumer confidence index rose in June, snapping a two-month decline, amid signs of easing inflation, despite some weakness in the country’s economic activity, according to the report by Getulio Vargas Foundation (FGV) released Thursday.
The index for consumer confidence climbed to 103.8 from 102.8 in May. The gauge for current situation jumped sharply to 109.6 from 107.2, while the expectations index inched up to 100.7 from 100.6.
A reading of 100 in the index, which has a 1-to-200 point range, is considered an indicator of neutral sentiment.
The rise in consumer confidence came amid initial signs of easing inflation. Consumer prices slowed down through middle of June compared with the previous month, primarily due to moderation in food costs.
The result is based on the survey conducted among 2,000 households between June 2 and 23 in seven large Brazilian cities.