OTTAWA - Canadian consumer confidence has revived since December to highest level since August, according to a Harris-Decima poll.
The survey of 2,000 people between Feb. 5 and Feb. 15 found 27 per cent predicting they'll be better off a year from now, against 13 per cent who expect to be worse off in early 2010.
This was an improvement from the previous tally in December, when only 20 per cent expected to be better off and 18 per cent had a pessimistic one-year outlook.
The proportion saying now is a good time for a major purchase rose to 41 per cent this month from 35 per cent in December.
"Some Canadians appear to be seeing light at the end of the economic tunnel," commented Harris-Decima senior vice-president Jeff Walker.
"The roller-coaster ride may not be over yet, but the data suggests many feel that we have hit bottom, and will gradually move upward from here."
The poll was released on the same day that Statistics Canada reported December retail sales sagged 5.4 per cent in the steepest monthly tumble in over 15 years. However, most of the decline was caused by skidding car sales and lower gasoline prices, and excluding the automotive sector retail sales were down 1.8 per cent.
The Harris-Decima poll, which claims a 95 per cent likelihood of accuracy within 2.2 percentage points, indicates that while Canadians are feeling more positive about the economy, U.S. consumer confidence has inched up only slightly.
Among Canadians, 59 per cent still foresee bad times for the economy in the coming year, but this was down from 64 per cent in December.
"Restored consumer confidence is an important factor in any potential economic recovery," observed Debbie Ammeter, a vice-president at mutual fund operator Investors Group.
"It is interesting to note that Canadians seem to recognize that things could be difficult for most of this year but yet there appears to be more who believe that they will be better off a year from now."
