Americans’ optimism about the economy came roaring back in November, hitting a nine-year high as the economy heads into the key holiday shopping season.
As reported by the Wall Street Journal, the Conference Board said Tuesday (Nov. 29) its index of consumer confidence jumped to 107.1 in November after dropping to an upwardly revised 100.8 in October. Economists surveyed by WSJ expected the index to rise to 101.8 in November.
Tuesday’s report is “consistent with an improving labor market and solid growth in consumer spending,” said Jim O’Sullivan, chief U.S. economist at High Frequency Economics Ltd.
The results showed consumers shrugging off uncertainty ahead of the U.S. presidential election, as most people in the survey were contacted before Nov. 8. A small sample of respondents was polled following the election, with a cutoff date of Nov. 15.
“Whether the increase reflects merely relief that it’s over or joy on the part of Trump supporters is unclear, but the bottom line is that the index is now at its highest since July 2007,” said Ian Shepherdson, chief economist at Pantheon Macroeconomics.
Consumers’ assessment of both current and future economic conditions strengthened over the month, with the present situation Index rebounding strongly to 130.3, from 123.1 in October. The expectations index hit 91.7, up from 86.0.
For the full story click here.