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UPDATE 1-Brazil consumer confidence rises to 9-month high in July -FGV

·1 min read

(Adds survey detail, quote)

By Jamie McGeever

BRASILIA, July 26 (Reuters) - Consumer confidence in Brazil rose in July to a nine-month high, a survey indicated on Monday, a fourth consecutive increase fueled more by future expectations than sentiment around the current situation.

The Getulio Vargas Foundation's (FGV) consumer confidence index rose to 82.2 points from 80.9 in June, reaching the highest since October last year, FGV said.

The rise in confidence also masked a clear split between the rich and poor, the survey showed.

"The outlook has improved ... but despite the optimism, consumers have been found it difficult to recover financially, especially families with lower purchasing power ... who have been hit harder by rising food prices," said survey coordinator Viviane Seda Bittencourt.

"The picture in the coming months will depend on vaccination progress, and controlling new (COVID-19) strains," she added.

Despite the rebound, the index remains below its pre-pandemic level of 87.8 in February last year.

The current situation index fell 0.7 points to 70.9, while the expectations index rose 2.5 points to 90.8, FGV said.

Confidence among consumers earning more than 9,600 reais ($1,846) a month rose to the highest level since January last year, before the pandemic struck. But confidence among the lowest income bracket fell 2.4 points to 71.7.

($1 = 5.20 reais) (Reporting by Jamie McGeever Editing by Louise Heavens and David Holmes)