Canadian consumer confidence dips in August: poll

Canadians consumers are less confident now than they were three months ago because of rising concern about the economy, the latest Harris/Decima-Investor's Group poll found.

The overall measure of consumer confidence decreased slightly to 82.4 from 85.9 in May. It was the second consecutive quarterly decline. In the U.S., the measure stands at 68.9, a decrease from the 73.6 recorded in May.

"Canadians appear to be optimistic about their financial prospects for the medium and long term," said Jack Courtney, assistant vice-president of advanced financial planning at Investors Group. "But they are also exercising caution when it comes to their short-term decision making.”

Despite the dip in overall confidence, the number of Canadians believing they will be financially better off a year from now remained stable at 26%, compared with 27% in May.

Fifty-five per cent believe the Canadian economy will see good times in the next five year, with 32% believing there will be higher unemployment and recession. The split remains little changed from three months ago.

Almost half said it was a good time to make a major purchase, down from 53% in May, the poll found.

The data was compiled from a telephone survey of 2,000 people in the two weeks from Aug. 19 to Aug. 29.