Finland Consumers More Pessimistic In May; Business Morale Improves

(RTTNews) - Finland's consumer confidence remained more negative in May, survey figures from Statistics Finland showed on Tuesday.

Separate data from the Confederation of Finnish Industries revealed that industrial sentiment improved somewhat but continued to remain below the long-term average.

The consumer confidence index dropped to -8.4 in May from -7.4 in April. Moreover, the score is well below the long-term average of -2.7.

The data was collected from 1,202 people between May 1 and 18.

Consumers' views on their own economy at present weakened compared to April, while expectations of their own economy over the next twelve months turned bright in May. Their opinion regarding Finland's economic outlook showed an increasingly fuzzy nature.

During May, the time was still regarded as unfavorable for purchasing durable goods, and intentions to spend money on consumption were even lower than before. In addition, fewer than usual were planning to buy a dwelling.

Concerns regarding unemployment were fairly gloomy in May, and consumers estimated in April that consumer prices would go up by 4.1 percent over the next year.

The industrial confidence index rose to -5.0 in May from -6.0 in April, the Federation of Finnish Industries said. The confidence was below the long-term average of 0.

Production is expected to grow moderately in the coming months, and the order backlog was improved, though still below the usual level.

Business confidence strengthened in the services and retail spheres, while a decline was seen in the construction sector.