Korea's consumer sentiment rebounds in Jan on Covid-19 pill and booster
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According to data released by the Bank of Korea (BOK) on Wednesday, the composite sentiment index (CCSI) stood at 104.4 in January, up 0.6 points from a month ago. In December, the index inched down 3.8 points from 107.6 in November to 103.8, a decline for the first time in four months amid surge in Covid-19 cases.
A reading above 100 means that consumer sentiment is more optimistic than pessimistic about the economy while vice versa is true for a reading below 100.
Of six major indicators that make up the CCSI, the index for current living standards, prospective living standards and prospective household income remained unchanged at 91, 96, and 100 respectively.
Although current domestic economic conditions fell 3 points to 76, prospective household spending and prospective domestic economic conditions each added 1 point and 5 points.
Expected inflation for the following year and consumers’ perceived inflation over the past year both remained unchanged from the previous month at 2.6 percent and 2.7 percent, respectively.
Prospective housing prices, however, fell 7 points to 100 in January amid rising interest rates and tighter regulations on mortgage loans. The index has been heading down for five months straight, meaning that the ratio of respondents who expect housing prices to rise in the future has fallen significantly from the previous month.
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