The Consumer Confidence Index (CCI) is a key economic indicator that measures the degree of optimism that consumers feel about the overall state of a country’s economy. The CCI is also used to assess changes in consumers’ willingness to spend money. The CCI is calculated using three indices: the Consumer Confidence Index, the Consumer Sentiment Index and the Consumer Expectations Index. The three indices are derived from responses to surveys conducted by different institutions, giving the index a complex and varying interpretation.First, the CCI is measured on a scale from 0 to 100 and is calculated using three indices: the Consumer Confidence Index, the Consumer Sentiment Index and the Consumer Expectations Index. Second, when calculating the index using survey data, economists typically compare current levels of consumer confidence against last year’s levels. When comparing current levels of consumer confidence against last year’s levels, economists refer to as “baseline expectations” or “baseline optimism.” This method gives economists a better understanding of how consumers feel compared to how they felt at previous points in time. For example, if consumer confidence was at an 80-point baseline index in October 2018 and it dropped to 70 points in January 2019, this would indicate that consumers were pessimistic about their financial situations during this period.
