Italian Confidence Erodes in December

Italian consumer confidence edged lower in December as business confidence in manufacturing notch lower as well. Consumer confidence has slipped for three months in a row. But still has a 67-percentile standing on data back to 1997.

The last 12 Months Consumers rate the overall situation over the last 12-months as slightly weaker, falling on balance over three-months and with a 61.2 percentile standing.

Looking ahead- Over the next 12-months- the overall situation has slipped for three months in a row and is net lower over 12-months as well. The expected overall situation has strengthened but lies only in its 23rd percentile, which is quite weak. Expected unemployment conditions are slightly weaker in December and lower on balance over 3-months and 12-months with a 69.3 percentile standing. Household budgets weakened in December but have strengthened on balance over 3-months and 12-months. The standing for the response is in this 77the percentile robust in the face of deteriorating unemployment prospects.

The household situation for the last 12-months improved in December and had improved over the past 3- and 12-months. With a 68-percentile standing. But, looking ahead over the next 12-months, conditions are slightly weaker in November and December than in October and slightly lower on balance over 12-months. The standing on this metric is in its 13th percentile. As firmly as conditions were viewed for households over the last 12-months there is just as much concern about the future spinning that forward.

The prospect for making major purchases is unchanged month-to-month but weaker on balance over 3-months with a midrange standing in December just above its historic median at its 52.5 percentile.

Italy has had stronger ranking confidence reading than many other EMU members, by may not be losing its advantage as its forward-looking metrics are losing purchase.