TAIPEI: Taiwan's consumer confidence in October rose to its highest level in 17 months, another indication the economy may be pulling out of a prolonged slump set off by the global economic meltdown.

The consumer confidence index for October stood at 60.56, up 4.11 points from the September level and the highest since June 2008, according to results of the monthly survey released yesterday by National Central University's Research Center for Taiwan's Economic Development (RCTED).

In October, all six sub-indices of the index rose, with the largest increase seen in the sub-index for the domestic economic outlook over the next six months. That index rose 9.5 points to 53.55.

Judging from the numbers, however, the center said consumers remain pessimistic about Taiwan's overall economic prospects, given that all six CCI sub-indices were below 100.

Consumers are said to be optimistic only when the index or sub-indices range between 100 and 200.

The sub-index posting the second largest increase in October was for projected employment opportunities for the next six months, which rose 6.3 points from September to 38.9, marking the greatest monthly surge in five years.

The sub-index for projected family finances edged up 4.6 points to 56.95, while that for projected durable goods purchases over the next six months rose 1.85 points to 84.5.

The sub-index for projected stock market investing over the next six months rose 1.8 points to 85.2, while that for projected domestic consumer prices over the next six months climbed 0.6 points to 44.25.

After dropping for 10 consecutive months from May 2008 to February 2009, when it bottomed out at 48.42, the CCI began to climb in March, before falling slightly in August and surging again in September and October.

The survey of 2,400 adults, randomly selected island-wide and conducted by Fu Jen Catholic University for the RCTED was carried out October 19-22. It had a margin of error of plus or minus two percentage points.

China Daily/CNA

(HK Edition 10/28/2009 page2)