According to a survey by the National Confederation of Goods, Services, and Tourism Trade (CNC), after seasonal adjustments, the Brazilian Household Consumption Intentions Index (ICF) increased by 0.5% in June, marking the best monthly data since May 2024. However, compared to the same period last year, the index has decreased by 1.3%.

As per Zhongjin's understanding, within the ICF index in June, the "credit availability" sub-item increased by 2.5%. This marks the fifth consecutive month of growth in this indicator, benefiting from measures enhancing financial market liquidity. The survey indicates that 32.6% of consumers believe that obtaining credit is easier, reaching the highest level since April 2020.

Nevertheless, influenced by recent increases in the benchmark interest rate (Selic) over the past few months, consumers remain cautious about the economic environment. For instance, consumer expectations for purchasing durable goods decreased by 7.0% compared to last year, marking the largest decline among all analyzed sub-items.

José Roberto Tadros, President of the CNC-Sesc-Senac system, commented, "Despite seeing some specific improvements, consumers are still attentive to economic signs. The combination of easy credit availability and high interest rates requires consumers to make more planned and wiser consumption decisions. Therefore, consumers need to strike a balance between willingness to consume and not jeopardizing long-term budgets."

The employment status index decreased by 0.1% month-on-month in June and decreased by 1.8% year-on-year. However, due to strong momentum in the recovery of high-income consumers, the employment prospects index in June increased by 0.5% month-on-month and by 1.7% year-on-year.

Regarding consumption intentions, the year-on-year decline in male consumption intentions (-1.8%) was greater compared to female consumption intentions (-0.7%). There were significant differences in credit availability as well, with a 1.5% increase for males and a 3.4% increase for females. Additionally, both genders saw improvements in employment prospects, with increases of 1.9% for males and 1.4% for females.

In June, both the poorest and wealthiest segments of the population showed an increase in consumption willingness. In households with monthly incomes exceeding 10 times the minimum wage standard, the ICF increased by 0.6% compared to May, reaching 116.7 points. In households with incomes below 10 times the minimum wage standard, the ICF increased by 0.6%, reaching 99.5 points.