However, the overall sentiment remains in "negative territory"
While Canadian consumer confidence reached a record low recently, gradual increases in this metric have become apparent over the past few weeks, according to a poll by Bloomberg and Nanos Research.
The Bloomberg-Nanos Canadian Confidence Index, which measures consumers’ financial health and economic expectations on a weekly basis, registered at 47.79 during the week ending Aug. 19. This was in contrast to the 46.27 level seen four weeks prior, and the 12-month high of 64.2.
“After hitting a low in consumer confidence in the wake of rising prices and interest rates, sentiment is steadying and incrementally improving although still in negative territory,” said chief data scientist Nik Nanos. “The index score remains under 50 in the 100-point diffusion scale that makes up the Bloomberg Nanos Canadian Confidence Index.”
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The share of Canadians expecting a stronger national economy in the next six months significantly improved from 14.97% to 16.66%, although more than half (53.26%) are still bracing for weaker performance and 24.13% believe that the economy will remain stagnant during this period.
The share of respondents expecting an increase in home prices in their neighbourhoods over the next half-year also improved from 29.42% to 30.09% last week. A similar proportion (30.3%) is anticipating steady prices, while 35.64% are preparing themselves for price declines.
