Despite the Middle East war
Consumer sentiment is better than it has been for a year
December 4, 2023, 11:34 a.m
According to the German Trade Association (HDE), consumer sentiment in Germany is currently better than it has been for around a year. The association’s consumption barometer, which is based on consumer surveys, rose to an annual high in December, as the HDE announced. Accordingly, people are planning more spending again and are investing less in saving.
Despite the many crises, including in the Middle East, consumers are, according to the study, much more optimistic about the coming weeks than in the past few months. This means there is a chance that private consumption will stabilize by the end of this year, it said.
Nevertheless, risks remained. According to the HDE, the federal government’s budget crisis could lead to more restraint in consumer spending. It therefore remains to be seen whether the increase in consumer sentiment means a trend reversal.