No joy for consumers

Robert Laing

Robert Laing

Shoppers dropped in the second quarter, with consumer confidence recording the biggest mood swing from optimism to pessimism in 24 years.

The consumer poll conducted by Stellenbosch University's Bureau of Economic Research and sponsored by First National Bank (FNB), resulted in a score of minus six, indicating the majority of South Africans are pessimistic about their financial future.

The survey found the gap between black and white consumer confidence is narrowing.

"Previously more black consumers than white consumers expected their own financial position to continue improving over the next 12 months. However, the number of black respondents holding this position declined so sharply that black consumers caught up with their white counterparts in being a lot less confident about further improvements in their household finances," FNB chief economist Cees Bruggemans said.

Black consumer confidence plummeted 20 index points.