2025-08-28
Economic Tendency Survey August 2025
Improved sentiment across all sectors
The Economic Tendency Indicator rose for the second consecutive month, yet it continues to reflect weaker-than-normal sentiment. The increase was broad-based, encompassing all sectors. Within the business sector, sentiment is now aligned with the historical average, while consumers remain more pessimistic than usual. Firms’ expectations regarding sales prices over the next three months are largely unchanged compared with July and remain close to the normal level.
The confidence indicator for the manufacturing industry increased somewhat in August but continues to signal weaker-than-normal sentiment. Firms are less optimistic than usual regarding their three-month production plans, which holds down the indicator. At the same time, firms report comparatively small finished goods inventories, which exerts a positive influence on the indicator.
The confidence indicator for construction rose marginally and continues to point to normal sentiment. Over the past three months, construction activity is reported to have declined slightly, yet on a three-month horizon, firms expect a normal degree of growth.
The confidence indicator for retail trade continued to rise in August and displays the strongest sentiment within the business sector. Grocery retail stands out with significantly stronger-than-normal sentiment, whereas the situation in motor vehicle sales, wholesale trade, and non-food retail is at or somewhat below the historical average. Retail firms’ expectations regarding sales prices over the next three months declined and are now slightly below the historical average.
The confidence indicator for the service sector increased and now reflects sentiment at a normal level of strength. The upturn is mainly explained by firms becoming more optimistic about demand developments over the coming three months.
Following the sharp increase in July, the confidence indicator for consumers rose only marginally in August. The indicator continues to signal weak sentiment. The confidence indicator for men increased, whereas that for women declined slightly.
