High Unemployment Keeps Consumer Confidence Slumping
According to numbers recently released, consumer confidence is still unchanged from last month…. meaning it’s weak. Confidence rose some last year, but the numbers have been sticky at low levels of late due to persistent unemployment and more restricted access to credit.
According to Reuters:
“The final March reading for the surveys’ overall index on consumer sentiment was 73.6, the same as February’s, but slightly above the 73 forecast.
“‘Following substantial gains from the recession lows of more than a year ago, sentiment has languished at those improved levels during the past six months, moving sidewards with only small variations,’ Richard Curtin, director of the surveys, said in a statement.
“The survey’s barometer of consumer expectations weakened to 67.9 at the end of March from 68.4 in late February. It was slightly above the 67.6 forecast by analysts.”
Whether the Obama administration delivers on the promise of job creation remains to be seen. It seems impossible until government propping comes to an end and the process of creative destruction can work its magic… so, we wouldn’t bet on it.
Visit Reuters to read more about how consumer sentiment ended unchanged in march.