U.S. consumer confidence (Conference Board survey) jumped to 70.4 in Feb from 64.8 in Jan; the 5th increase in a row and best level since Feb ‘08. But, we are 20 months into a recovery, and 70.4 is the second lowest level of consumer confidence ever at this stage of the cycle. What is typical for this stage is for confidence to average 88. So 70.4 is really a number more closely resembling recession than expansion.
Tag Archives: expansion
Better Sentiments
Consumer sentiment came in better than expected in Feb at 75.1 but the expectations component which leads spending growth fell to 67.6 from 69.3 in Jan and all the gains in consumer confidence were in the high income segment; soaring to 88.2 in Feb from 80.7. Sentiment among the lowest income group fell from 72.1 to 67.7. Worse, the 75.1 is the lowest reading for this measure ever recorded 19 months into an expansion