Italy’s manufacturing confidence index decreased to 100.1 in July of 2019 from a downwardly revised 100.7 in the previous month and missing market expectations of 100.6. It was the worst reading since January of 2015. There was a deterioration in assessments on order books (-17.7 from -14.0 in June) and inventories decreased (3.1 from 4.1), while expectations on production improved (6.4 from 5.4). Meanwhile, the composite business morale index, combining surveys of the manufacturing, retail, construction and services sectors, rose to 101.2 in July from 99.3 in June. Business Confidence in Italy averaged 102.29 Index Points from 1991 until 2019, reaching an all time high of 121.52 Index Points in February of 1995 and a record low of 71.50 Index Points in March of 2009.
Business Confidence in Italy is expected to be 99.00 Index Points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Business Confidence in Italy to stand at 102.50 in 12 months time. In the long-term, the Italy Business Confidence is projected to trend around 104.00 Index Points in 2020, according to our econometric models.