The latest Decima-Investors Group Index of Canadian Consumer Confidence show that confidence declined slightly over the last quarter, but continues to outpace the US index for the fourth quarter in a row.

The undex is based upon a series of five questions that probe perceptions of current and future economic conditions. The Canadian index is closely modeled on the University of Michigan’s Index of Consumer Sentiment.

The Canadian index stands at 86.1, down 2.5 points from last quarter.

It remains slightly above the U.S. equivalent, although the gap between the two countries has narrowed, as U.S. confidence increased by 2.9 points to 82.0.

Confidence among residents of Quebec (-4.9), Manitoba and Saskatchewan (-4.9) dropped over the quarter.

Looking at the subcomponents of the index points up the fact that the Canadian index moved downward due to a softening of personal rather than macro-economic expectations, and that expectations for the near term (next year) dropped more than expectations for the longer term (five years).

According to Decima CEO Bruce Anderson “Canadians continue to feel that the Canadian economy is robust, despite signs that the current year may feature slower growth than in the recent past. Over time, many people have come to expect that economic cycles will be more gentle than severe, and that they are better positioned personally to weather an economic downturn.”

The data for this index is based on a representative sample of 2,033 Canadians (18 years and older) surveyed between August 31 and September 11. A sample of this size can be considered accurate within plus or minus 2.2 per cent, 19 times out of 20.