Confidence remains high
The Economic Tendency Indicator continues to point to a buoyant mood among both firms and consumers. Despite falling from 113.7 in December to 112.0 in January, it remains well above the historical average. All of the business sector indicators other than that for the retail trade are above, or well above, normal levels. Consumer sentiment improved somewhat in January, but this related mainly to personal finances.Firms in all sectors have seen an increase in employee numbers in recent months, but a high proportion are still reporting labour shortages. Recruitment plans are as optimistic as