Korea's consumer sentiment up for 2 straight months in Oct amid vaccination progress
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According to data released by the Bank of Korea on Wednesday, the composite consumer sentiment index (CCSI) stood at 106.8 in October, up 3 points from a month earlier. The index had declined for two straight months in July and August – which came to 103.2 and 102.5 respectively – before rebounding in September to 103.8.
A reading above 100 means that people are more optimistic than pessimistic about the economy while vice versa for a reading below 100.
Consumer sentiment improved on expectations for recovery to normal life after the country achieved its goal of inoculating over 70 percent of the population, the BOK said.
All six major indicators that make up the CCSI rose in October from a month earlier, with the index on current living standards and prospective living standards up each by 1 point and 2 points to 92 and 98.
Prospective employment opportunities, although not included as CCSI indicator, rose 6 points to 94, while the BOK’s prospective interest rates index fell 1 point to 133.
Prospective housing prices fell 3 points from 128 to 125 in October while prospective prices and prospective wages remained unchanged at 149 and 117, respectively.
Consumers’ perceived inflation over the past one year remained unchanged at 2.4 percent and expected inflation for the following year also unchanged at 2.4 percent.
The BOK noted that real prices rose on surging international oil prices and public costs and that expected inflation will continue to remain high on rising factors.
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