The Consumer Confidence of Taiwan Improves on the current month of July as a result of strong market data produced for the period. Also according to sources, the sub-index data for the employment sentiment for the period decline for the first time in the range of six years.
The recent results of the survey done by the National Central University revealed that the Consumer Confidence Index for July has added 0.43 figures from last month’s results of 78.19. In other subsectors, the family finance, consumer prices and the strong stock market also posted optimistic results for the month of July.
The consumer confidence index has six indicators that total to the result of the CCI data largely. To name each, the consumer prices, employment data, family finance, the general economic climate, the stock marketplace and the potential spending of consumer goods over the following six months period all affect the index overall.
According to the data posted, the stock market sub-index showed the biggest development out of all the said sectors for the period. The sub-index posted a 2.3 increase from the data posted in the preceding month.
The director of the NCU's Research Center for Taiwan Economic Development, Dachrahn Wu, told reports that despite the positive results from the stock market, the job market data posted negative ones otherwise.
The employment index for the month of July however, declined further down the 100 range. Within a span of 75 months, this is the first time that the index posted a result of 99.95 which is again, a result below the 100 level.
The NCU told reports that if a sub-index reveals a result between 0-100, that result is deemed negative. However, if it does show an indication between 100-200, that signals optimism for the sub-sector.
Wu added that the things that influenced the decline in the employment sector are the entry of fresh grads who are seeking employment from the market and the Government’s new set of work regulations that certainly affected the employer’s psychology to rather resort to not employ these new graduates.
Although a decline on the employment index was apparent, the CCI still managed to up its consumer prices data as well as its family finances which mean that the public is optimistic about the economy of Taiwan totally, Wu stated.
The said survey done by the NCU was executed within the periods of July 19 to the 23rd. It had a total response from 2,554 individuals and had a margin of error plus or minus 2% overall.
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