Danish consumer confidence remains low

Despite salary increases this year and declining interest rates, Danish consumer optimism is hard to detect. Denmark’s consumer confidence indicator reached minus 8.9 in October, the lowest level of 2024. This negative indicator reflects a pessimistic view of personal and national economic situations. Brian Friis Helmer from Arbejdernes Landsbank notes the impact of inflation and interest rates on personal finances despite more stability and slight declines. Louise Aggerstrøm Hansen from Danske Bank observes that many have depleted their savings set aside during the pandemic as prices increased, and although significant real wage growth is occurring, financial gaps need filling. Sydbank’s chief economist, Søren V. Kristensen, highlights the importance of consumer spending and the labor market for expected economic growth in 2025.