Italy Consumer Confidence Drops to 6-Month Low Amid 2nd Wave

Italy's Consumer confidence fell in November to its lowest level in six months, reading 98.1 compared with 101.7 in October and missing a Reuters' median forecast of 99.0.

Data on Friday showed that sentiment among Italian businesses and consumers fell sharply this month, amid a second wave of the coronavirus and government precautionary measures, including closures.

The National statistics institute (ISTAT) manufacturing confidence index also fell to 90.2 in November from 94.7, a month earlier,  below the median forecast of 93.5 in the survey.

Also, business sentiment index, which includes construction, manufacturing, retail, and services sectors came in at 82.8 in November, down from 92.2 a month earlier and the lowest since August.

So far, Italy has the second-highest death toll in Europe after the UK with more than 52,000 fatalities since February.

The Italian economy, which is the third-largest in the European Union (EU), rebounded 16.1% in the third quarter of 2020 after falling in the first half of the year due to the great lockdown.

Meantime, Gross Domestic Product (GDP) is expected to shrink by 9% in Q4 due to the second virus wave, followed by 6% growth in 2021.