26/08/2026 10:51 am MYT
The Consumer Confidence Index fell by 0.8 points to 89.4 in Aug, down from 90.2 in Jul (figure 1). The decline was mainly due to weaker expectations, even as views on current business conditions and the labour market improved. Looking ahead, consumers expect worsening business conditions, while labour market expectations were also more negative. Household income expectations eased but remained positive overall.
The Expectations Index, which gauges consumers' short‑term economic outlook, fell by 5.8 points to 68.2 in Aug. It has now remained below the 80-point threshold for the nineteenth consecutive month, a level often signals a potential recession.

Note from Publisher
Europe is the world's fastest-warming continent, and its summers are getting more extreme with each passing year. This year, successive heatwaves pushed temperatures past 35°C to 40°C, causing shrinking rivers, drought, wildfires, and significant loss of human life, not to mention substantial economic damage. Many European countries were not adequately prepared for such extreme summer conditions and have struggled to cope with their consequences.
Malaysia has been blessed by Mother Nature with abundant sunshine and rainfall. Nevertheless, the country would be wise to prepare for increasingly extreme weather brought about by climate change, as Malaysia is not immune to the effects of global warming. According to the Malaysian Meteorological Department (MetMalaysia), there is a more than 90% chance that Malaysia will experience 'Super El Nino' between Oct and Dec 2026. MetMalaysia said the 2026–2027 Super El Nino could rank among the most extreme events ever recorded, with temperatures exceeding 40°C. Malaysia should take MetMalaysia's warnings seriously and prepare well in advance to ensure that the country is not caught off guard.
i Capital will pause its publication for one issue in the week starting 31 Aug. However, www.icapital.biz will be updated as usual and the operating hours of our Kuala Lumpur office will remain unchanged. The next issue, Volume 38, number 8 of i Capital, will be dated 10 Sep - 16 Sep 2026.
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