Greek consumer sentiment down in Q2, GfK report

The survey on "Consumer Climate Europe" showed that the consumer sentiment index grew by 27.4 points in the first quarter to 14.3 points, but fell to -9.9 points in June, falling 24.2 points in the second quarter.

GfK said uncertainty over the economic situation in the country was reflected on income expectations, with most Greek pessimistic over their incomes. Income expectations fell to -12.6 points at the end of the second quarter, although consumer intention for new purchases remained positive, rising by 19 points to -17.5 points, boosted by consumer hopes over a positive outcome in negotiations between Greek authorities and the country's creditors.

Prolonged negotiations between Greece and its creditors are also affecting consumer sentiment throughout Europe, while sentiment in Eastern European countries was also negatively affected by a Russian-Ukrainian crisis.