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Big beat.Consumer confidence surged from 61.3 last month to 70.3 this month.
That’s well ahead of estimates of 63.1.
Needless to say this has all kinds of ramifications, if it holds up.
The significance is both political and economic if the consumer is feeling better.
Here’s the full announcement from the Conference Board…
he Conference Board Consumer Confidence Index®, which had declined in August, improved in September. The Index now stands at 70.3 (1985=100), up from 61.3 in August. The Expectations Index increased to 83.7 from 71.1. The Present Situation Index rose to 50.2 from 46.5 last month.
The monthly Consumer Confidence Survey®, based on a probability-design random sample, is conducted for The Conference Board by Nielsen, a leading global provider of information and analytics around what consumers buy and watch. The cutoff date for the preliminary results was September 13.
Says Lynn Franco, Director of Economic Indicators at The Conference Board: “The Consumer Confidence Index rebounded in September and is back to levels seen earlier this year (71.6 in February 2012). Consumers were more positive in their assessment of current conditions, in particular the job market, and considerably more optimistic about the short-term outlook for business conditions, employment and their financial situation. Despite continuing economic uncertainty, consumers are slightly more optimistic than they have been in several months.”
Consumers’ appraisal of present-day conditions improved in September. Those claiming business conditions are “good” edged up to 15.5 per cent from 15.3 per cent, while those saying business conditions are “bad” declined to 33.3 per cent from 34.3 per cent. Consumers’ assessment of the labour market was also more upbeat. Those stating jobs are “plentiful” rose to 8.3 per cent from 7.2 per cent, while those claiming jobs are “hard to get” edged down to 39.9 per cent from 40.6 per cent.
Consumers were also more optimistic about the short-term outlook in September. Those expecting business conditions to improve over the next six months increased to 18.2 per cent from 16.7 per cent, while those anticipating business conditions to worsen decreased to 13.8 per cent from 17.6 per cent. Consumers’ outlook for the labour market was also more favourable. Those expecting more jobs in the months ahead increased to 18.5 per cent from 15.8 per cent, while those anticipating fewer jobs declined to 18.5 per cent from 23.7 per cent. The proportion of consumers expecting an increase in their incomes edged up to 16.3 per cent from 16.0 per cent
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