2023.03.3014:35:00UTC+00Portugal Consumers Slightly Less Pessimistic; Retail Sales Rise For Second Month

Portugal's consumer confidence rose slightly to a 7-month high in March, though it still remained negative, survey data from Statistics Portugal showed on Thursday.

Separate official data showed that retail sales grew at a slower pace in February.

The consumer confidence indicator increased to -32.3 in March from -32.5 in February.

The slight improvement in March was primarily due to households' expectations for the future evolution of major purchases. The corresponding index rose to -33.7 from -38.3.

However, the index measuring consumers' expectations of the general economic situation of the country fell to -45.1 from -41.8.

Households' views on their own financial situation in the next twelve months were almost unchanged in March, with the corresponding index falling marginally to -19.2 from -19.1 in February.

Data also showed that the economic climate indicator improved somewhat to 2.3 in March from 2.2 in the preceding month.

The manufacturing confidence index rose to -1.9 in March from -3.0 a month ago, and the construction sector morale increased to -3.6 from -4.5.

Meanwhile, the index reflecting the morale in the trade sector fell to 5.4 from 6.0, and the confidence measure in the services sector declined notably to 13.0 from 19.9.

In a separate report, the statistical office revealed that retail sales rose 0.4 percent year-over-year in February, much slower than the 3.7 percent strong recovery in January.

The overall growth in February was largely driven by a 1.8 percent gain in sales of non-food products. At the same time, sales of food, drinks, and tobacco products decreased 1.4 percent.

On a monthly basis, retail sales edged down 0.1 percent versus a 1.9 percent gain in January.