In January, business confidence continued to decline in Denmark for the third consecutive month, driven largely by a notable drop in retail industry confidence and concerns among businesses about their competitiveness in non-EU export markets amid threats of trade tariffs, according to survey data released by Statistics Denmark on Friday.
The new Business Confidence Indicator, encompassing manufacturing, construction, retail, and services, decreased to 104.0 from December's 105.4. This marks the lowest level since August, where it registered at 103.6.
The retail industry experienced a significant downturn, with its confidence index plummeting to 94.6 from 103.6, primarily due to declining expectations for both revenue and employment. This marks the third month running where employment expectations remain in negative territory.
Conversely, enhanced production and employment expectations drove the industrial confidence indicator up slightly to 105.3 from 104.8.
In the building and construction sector, the confidence indicator declined to 104.8 from 105.5, reflecting tempered revenue and employment expectations.
Meanwhile, the services sector saw a second month of weakened morale, as revenue expectations fell despite an improved employment forecast. Consequently, the confidence indicator declined to 104.5 from 104.9.
