Canadian Consumer Confidence Soars to Highest Since 2019 Amid Easing of Restrictions
With lockdown restrictions beginning to ease across several Canadian regions, consumers are becoming more optimistic regarding the country’s economy.
The latest Bloomberg Nanos Canadian Confidence Index reading rose to 58.1— the highest level since October 2019, after major provinces Ontario and Quebec began to ease pandemic restrictions. With the lifting of restrictions, the ongoing vaccine program, as well as the positive state of stock markets, sentiment across Canada remains elevated despite growing concerns regarding the emergence of new Covid-19 variants.
The index suffered a record decline back in March and April of 2020, before moderately increasing during the summer months. The sentiment rebound began to lag between September and November, as a second wave of the virus once again prompted government officials to impose tougher restrictions. However, with the vaccine rollout taking center stage in the beginning of the new year, sentiment levels were sent soaring back up.
The increase in sentiment was largely the result of rising optimism surrounding economic growth. Almost 28% of Canadians surveyed said they anticipate the economy will rebound to stronger levels within the next six months— the highest share in three years. Likewise, the Nanos survey also found that 52% of Canadians expect property values in their area to increase over the next six months— the highest proportion ever for the question, amid a record housing boom across Canada.
Information for this briefing was found via Nanos Research. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
