China CNY

China Westpac MNI Consumer Sentiment Indicator

Impact:
Low
Source: MNI Deutsche Börse Group

Latest Release:

Date:
Surprise:
2.4
Actual:
115.2
Forecast: 112.8
Previous/Revision:
111.5
Period: Sep
What Does It Measure?
The China Westpac MNI Consumer Sentiment Indicator measures the level of confidence among consumers in China regarding their financial situation and the overall economy. It assesses key components such as consumer expectations about the economy, personal finances, and willingness to make significant purchases, providing insights into household spending trends.
Frequency
This indicator is released monthly, typically published around the end of the month and serves as a preliminary estimate of consumer sentiment.
Why Do Traders Care?
Traders closely monitor the China Westpac MNI Consumer Sentiment Indicator due to its implications for consumer spending, which constitutes a significant portion of China's GDP. A strong sentiment reading is generally considered bullish for the Chinese yuan and equities, while a weak result may indicate economic weakness and could lead to bearish sentiment in financial markets.
What Is It Derived From?
The indicator is derived from a survey that involves a sample of consumers, asking them about their perceptions and expectations regarding economic conditions and personal financial situations. The calculation employs diffusion indices, where higher readings indicate greater consumer confidence.
Description
The China Westpac MNI Consumer Sentiment Indicator is a critical barometer of household economic sentiment and is particularly relevant as consumer confidence can lead to increased spending, driving economic growth. It is often compared with other indicators of economic health, offering insights into future consumption patterns and broader economic trends.
Additional Notes
The indicator serves as a leading economic measure, often providing early signals about forthcoming consumer spending behavior. Observing trends in consumer sentiment can help analysts gauge the likelihood of economic expansion or contraction in China and compare it with similar trends in other major economies.
Bullish or Bearish for Currency and Stocks
Higher than expected: Bullish for CNY, Bullish for Stocks.

Legend

High Potential Impact
This event has a strong potential to move markets significantly. If the 'Actual' value differs enough from the forecast or if the 'Previous' value is significantly revised, it signals new information that markets may rapidly adjust to.

Medium Potential Impact
This event may cause moderate market movement, especially if the 'Actual' deviates from the forecast or there's a notable revision to the 'Previous' value.

Low Potential Impact
This event is unlikely to affect market pricing unless there's an unexpected surprise or a major revision to prior data.

Surprise - Currency May Strengthen
Actual deviated from Forecast on a medium or high impact event and historically could strengthen the currency.

Surprise - Currency May Weaken
Actual deviated from Forcast on a medium or high impact event and historically could weaken the currency.

Big Surprise - Currency More Likely To Strengthen
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely strengthen the currency.

Big Surprise - Currency More Likely To Weaken
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely weaken the currency

Green Number Better than forecast for the currency (or previous revise better)
Red Number Worse than forecast for the currency (or previous revise better)
Hawkish Supports higher interest rates to fight inflation, strengthening the currency but weighing on stocks.
Dovish Favors lower rates to boost growth, weakening the currency but lifting stocks.
Date Time Actual Forecast Previous Surprise
Sep 28, 2016
115.2
 112.8
111.5
 2.4
Aug 31, 2016
111.5
114