BRASILIA: Consumer confidence in Brazil fell in November for the first time since President Michel Temer took office in May as hopes of a quicker exit from recession were frustrated.
The Getulio Vargas Foundation (FGV) index of consumer confidence released on Thursday fell to 79.1 in November from a near two-year high of 82.4 in October.
The dip in consumer confidence is a setback for Temer, who had hoped a faster economic recovery would boost his popularity ratings, which have remained low since he replaced former President Dilma Rousseff in May.
Brazil's two-year-long recession worsened in the third quarter, according to central bank data. Over one in five Brazilian workers are either unemployed, working part time or have given up finding a job, statistics agency IBGE said on Tuesday.
"In the absence of positive news about the economy and with the continued deterioration of the labor market, some consumers have curbed their optimism about the next six months," FGV economists Viviane Bittencourt said.
Economists in a Reuters poll expect the Brazilian economy to resume growth next year, but only at a modest pace of about 1 percent a year. Protests have increased in recent weeks against austerity measures by state governments, some of which have delayed salary payments and sought to raise taxes.
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