Danish consumer sentiment remains subdued as July's confidence indicator holds at -15.7, virtually unchanged from -15.1 in June, according to new data from Statistics Denmark. The index, which gauges households' perceptions of current and future economic conditions, reflects a broadly pessimistic outlook, with three out of five key sub-indicators showing declines.
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While consumers' views of their current financial situation showed a modest improvement, their expectations for both personal and national economic conditions remained bleak.
Consumers were particularly downbeat about Denmark's current economic situation compared to a year ago, with that indicator sitting at -21.9. This remains consistent with the six-month average of -23.5. A similar sentiment applies to household finances, with the corresponding measure at -11.1 in July.
Crucially, consumers expect conditions to deteriorate further over the coming year. The indicator for household financial expectations stood at -5.8 in July, while expectations for the broader Danish economy came in at -23.5.
'Consumers expect their family finances to worsen next year,' the report states.
The outlook for unemployment remains a source of concern. The indicator for expected joblessness one year ahead was 11.0, suggesting that more Danes foresee rising unemployment, although this is slightly more optimistic than the six-month average of 15.4.
There was also a continued reluctance to make major purchases. 'Consumers continue to believe that it is not advantageous to acquire major consumer goods at the moment,' the report notes, with that specific indicator dropping to -16.0, below the six-month average of -14.2.
Despite a stable headline figure, the persistence of negative sentiment across multiple dimensions suggests consumer caution will continue to weigh on Denmark's domestic economy.
'Consumers still expect that their family's own financial situation one year from now will be worse than today.'
The consumer confidence index is compiled monthly via telephone and online surveys of individuals aged 16–74. According to Statistics Denmark, 'a change in an indicator from one month to another must normally be above 5 to be statistically significant.'
The next update is scheduled for 21 August 2025.
More information:
Statistics Denmark
www.dst.dk