- Nick Moon, managing director of social research at GfK
U.K. consumer confidence tumbled to its lowest level in six months, suggesting the economy may find it hard to grow in the last quarter, despite the end of the recession. Market research firm Gfk NOP's, said their index of sentiment fell to -30 in October, down from -28 in the prior month. Despite the fact, nation's economy expanded by 1.0% in the third quarter, the uncertainty over future economic development remains high.
"While the Olympics are thought to have boosted GDP in the last quarter, the late summer boost in consumer sentiment has now faded," said Nick Moon, managing director of social research at GfK. "The fragility of the recovery is underlined by the fact that people are more worried about their own financial situation over the next 12 months. This certainly doesn't suggest there will be a spending boom on the back of the official emergence from recession."
"The late summer boost in consumer sentiment has now faded. The government will be concerned that the economic bounce will follow a similar path and deflate during the autumn," said Nick Moon, managing director of social research at GfK.
The FTSE 100 Index turned lower 1.15 per cent to 5,782.70. The broader FTSE All-Share Index fell 1.00 per cent to 3,024.40.
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