Eurozone consumer confidence fell to an all-time low in July. The European Commission reported this. Confidence is under pressure from high inflation, undermining households’ purchasing power.
Concerns about an economic recession and Russian gas supplies also weigh on sentiment. Across the European Union, consumer confidence also fell to its lowest level ever.
The index that measures confidence is now lower than the previous low at the start of the corona pandemic. As a result, households are more pessimistic about their own financial situation and much less willing to make large purchases. The Central Bureau of Statistics (CBS) previously reported that Dutch consumer confidence has fallen to a new low this month.
But confidence in the economy is also under pressure among European companies. The gauge measuring overall sentiment fell this month to its lowest level since February 2021. According to the commission, confidence in manufacturing, services, and retail in particular declined.