“The deterioration of the epidemic situation and the related measures have undoubtedly resulted in a deterioration in consumer sentiment. Compared to September, people are much more worried about the deterioration of the overall economic situation and their own financial situation. The vast majority of respondents are also concerned about rising unemployment, “said Jiří Obst, Head of the CZSO Business Tendency Survey.
–
Among entrepreneurs, confidence in the economy fell by 3 percent. The average is distorted by entrepreneurs in industry, among whom confidence in the economy has risen.
–
“The Czech industry is still relatively successful at the moment, but in the responses of entrepreneurs we have already noticed some signs of concern about future developments. In contrast, there was a significant decline in confidence in the services sector in October, especially in the areas of hospitality, accommodation and tourism, “added Obst.
–
In the services sector, the decline was 7.7 points, confidence fell to 77.2 points. Among entrepreneurs in this area, the assessment of the overall economic situation deteriorated the most. In addition, in October, unlike in the previous month, most respondents assessed current demand negatively. The share of entrepreneurs expecting improvement in the next three months also decreased significantly.
–
Statistics for the business cycle survey were collected by statisticians from 1 to 19 October. Gradually tightening and often announced day-to-day measures of the government were therefore only partially reflected in it.
–
“The October mood results suggest that the last quarter of the year will be very weak in terms of economic performance. Services will be particularly affected, but given the probable prolongation of the state of emergency and the extension of existing restrictions, it does not make much sense at this time to estimate how strong the Czech economy has been hit this time around, ”said ČSOB analyst Petr Dufek.
—
