Preliminary Brazilian Industry Confidence results reveal drop in June
Conducted by FGV’s Brazilian Institute of Economics (IBRE), the Industry Survey’s preliminary results for June 2018 indicate a drop of 1.4 point in the Industry Confidence Index (ICI), compared to the final result from May, down to 99.7 points.
The Current Situation Index (ISA) would fall 6.2 points in the month, down to 94.4 points. After dropping in April and stabilizing in May, the Expectations index (IE) would rise 3.3 points in June, up to 104.9 points.
“June’s preliminary figures indicate a drop in confidence, influenced by a significant worsening of current situation assessments. However, we need to consider that the higher economic uncertainty after the truck drivers’ strike in late May could lead to final survey results that are farther from the preliminary results than usual. The positive aspects include the gradual standardization of productive activities throughout the month. On the other hand, negative aspects include the perceived worsening of the economic policy and the nearing elections”, said Tabi Thuler Santos, Coordinator of the IBRE Industry Survey.
After the stability seen in the last two months, preliminary results from June indicate a drop of 0.2 percentage point in the Industry Installed Capacity Usage Level (NUCI), down to 76.3%.
A total of 788 companies were surveyed between June 4 and 19 for this month’s preliminary results. The final survey results will be published next Friday, June 29. Go to the website for more information.