- Title: German consumer morale drops heading into September- GfK
- Date: 26th August 2021
- Summary: MUNICH, GERMANY (AUGUST 25, 2021) (REUTERS) TIMELAPSE OF PEOPLE WALKING PAST ON MUNICH'S MARIENPLATZ SQUARE (MUTE) VARIOUS OF SHOPPERS ON STREET VARIOUS OF PEOPLE WALKING PAST "SALE" SIGNS" ON STORE WINDOWS REPORTER SEATED AT DESK TALKING TO GFK CONSUMER EXPERT ROLF BUERKL VIA VIDEO CONFERENCE (SOUNDBITE) (German) GFK CONSUMER EXPERT, ROLF BUERKL, SAYING: "We are seeing a somewhat more moderate consumer morale in August which dropped from -0.4 points to -1.2 points. The main reason is a reduced spending tendency while the trend to save money increased a little." VARIOUS OF REPORTER LISTENING TO BUERKL (SOUNDBITE) (German) GFK CONSUMER EXPERT, ROLF BUERKL, SAYING: "A high inflation is a sensitive issue, especially in Germany. We know from past experience that this always has a negative effect on consumer morale. Apart from rising (COVID-19) infection numbers, a drop in vaccinations and discussions on regulations, rising prices also play a role." VARIOUS OF BUERKL SPEAKING (SOUNDBITE) (German) GFK CONSUMER EXPERT, ROLF BUERKL, SAYING: "Economic expectations in June saw a 10-year high, there was an economic euphoria among consumers. The situation calmed down over the past two months but the level of economic expectations is still high. Consumers continue to believe that the economy will recover over the coming months." VARIOUS OF PEOPLE STANDING IN LINE OUTSIDE STORE VARIOUS OF SHOPPERS TIMELAPSE OF PEOPLE WALKING ON SHOPPING STREET (MUTE)
- Embargoed: 9th September 2021 10:28
- Keywords: GfK consumer morale economy inflation shoppers
- Location: MUNICH, GERMANY
- City: MUNICH, GERMANY
- Country: Germany
- Topics: Europe,Economic Events
- Reuters ID: LVA001ERX0WB1
- Aspect Ratio: 16:9
- Story Text: The mood among German consumers darkened heading into September as accelerating inflation and rising COVID-19 cases made them more hesitant to buy, a survey showed on Thursday (August 26).
The GfK institute said its consumer sentiment index, based on a survey of around 2,000 Germans, dropped to -1.2 points for September, from a revised -0.4 points a month earlier. The reading compared with a Reuters forecast for -0.7.
"We are seeing a somewhat more moderate consumer morale in August which dropped from -0.4 points to -1.2 points," GfK consumer expert Rolf Buerkl said.
Germany's harmonised annual consumer prices rose 3.1% in July, hitting a 13-year high and fuelling a debate about whether the increase in the cost of living will persist.
An increase in coronavirus infections and a slower pace of vaccinations have also hit consumers' expectations for the economy and affected their propensity to buy, Buerkl added.
Germany reported 11,561 new coronavirus infections on Wednesday and a seven-day incidence rate of 61.3 per 100,000 people, according to the Robert Koch Institute for infectious diseases.
Some 59.4% of the population are fully vaccinated with around 64.4% having received at least one dose.
(Production: Niklas Woschek, Michele Sani)
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