Brazil's consumer confidence rises in June to highest in a year
BRASILIA, June 27 (Reuters) - Consumer confidence in Brazil rose in June to the highest in one year, boosted by a sharp improvement in expectations about the future following the impeachment of President Dilma Rousseff. The Getulio Vargas Foundation index of consumer confidence rose to 71.3 in June from 67.9 in May. A gauge of expectations advanced to 77.1, from 71.1 in May. Consumer confidence had plunged to record lows as Brazil's economy entered its worst recession in probably more than a century and unemployment surpassed 10 percent. Rousseff, suspended in May to face a Senate trial for allegedly breaking budget laws, was replaced by interim President Michel Temer. While expectations improved, sentiment about current conditions worsened in June from May. An index on the current situation fell to 64.7 in June from 65.5 in May. "There is a gap between consumers' expectations about the next few months and their satisfaction with the current situation," FGV economist Viviane Bittencourt said in a statement. "I believe we will still see consumption falling for a few quarters before it starts to grow again." (level) Latest mth Previous mth Year ago Confidence index 71.3 67.9 73.2 Current situation index 64.7 65.5 75.3 Expectations index 77.1 71.1 73.1 (Reporting by Silvio Cascione; Editing by Bernadette Baum)
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