Business confidence drops in September on pessimism about financial exercise

Business confidence drops in September on pessimism about financial exercise

The decline was influenced by a perception by entrepreneurs of a drop in demand for industrial products in all categories, except for non-durable consumer products.

The index that measures industrial confidence by FGV Ibre dropped 0.8 point in September, to 99.5 points.

According to Stéfano Pacini, economist at FGV Ibre, the decline was influenced by a perception of entrepreneurs of a drop in demand for industrial products of all categories of use, except for consumer products of non-durable goods.

“This result negatively affects the assessment of the current business situation, despite a decompression in costs with the reduction of oil and energy prices. For the next few months, there is pessimism regarding the increase in production, possibly related to the continued deceleration of economic activity and difficulties in the supply of some inputs”, he comments.

The scenario improves a little in the six-month horizon, but the economist says that caution is needed, as the more restrictive monetary policy should contain investments in the coming months.

There was a drop in confidence in 11 of the 19 monitored industrial segments. The Current Situation Index dropped 1.9 points, to 100.9 points, while the Expectations Index remained relatively stable, varying 0.1 point to 98.0 points.

The perception of entrepreneurs in relation to the current business situation was the one that most negatively influenced the result in the month, falling by 4.1 points, to 97.6 points, the lowest level since March (91.9 points). The indicator that measures the level of demand retreated 1.7 points, to 101.5 points. The indicator that measures the level of inventories remained stable, with a favorable result below 100 points.

Among expectations, production in the next three months maintains a negative trend for the third consecutive month, with a drop from 1.0 point in September to 91.1 points, the lowest level since March (90.3 points).

For the next six months, the indicator that measures the trend of business recovers for the second month, with 1.7 points in September, to 98.5 points, approaching the levels observed in the last quarter of 2021.

The Industrial Installed Capacity Utilization Level dropped 1.4 points, returning to the May level of 80.8%.

Source: G1

Related post

Grupo On line casino broadcasts the sale of a part of its exercise in Brazil

Grupo On line casino broadcasts the sale of a…

The company hopes to raise around US$ 500 million with a stake in Assaí The French group Casino announced this Monday…
Micro and small confidence stays secure in relation to September, however larger than in October 2021

Micro and small confidence stays secure in relation to…

The confidence of the owners of micro and small companies suffered a slight drop in the last month of October, but…
With eVTOLs, Embraer is inventing an trade from scratch.  Get to know the backstage

With eVTOLs, Embraer is inventing an trade from scratch.…

In recent years, eVTOLs (electric vertical take-off and landing) have become one of the great promises of the aviation sector, attracting…

Leave a Reply

Your email address will not be published. Required fields are marked *