“HOTTER THAN EXPECTED”: Consumer Confidence Is UP in February

After a dip in January, consumer confidence is coming back. ebruary’s Consumer Confidence Index rose to 91.2, beating forecasts.

he Expectations Index—how Americans view the next six months—also posted a solid gain.

And expectations improve before spending accelerates.

The Conference Board reported Tuesday that its consumer confidence index rose to 91.2 in February, up from an upwardly revised 89 the month before. While still subdued, the increase suggests a slight stabilization after January’s sharp drop. A measure of short-term expectations for income, business conditions, and the labor market climbed four points to 72. That figure remains well below 80 — a level often viewed as a recession warning signal — marking the 13th straight month below that threshold.

According to the Conference Board’s February survey, Americans also showed greater willingness to spend on big-ticket items in the months ahead. Plans to purchase used cars, furniture, televisions, and smartphones increased. Expectations for home buying were largely unchanged — unsurprising given that February is typically a slower period for housing, which has struggled through a prolonged downturn.

Associated Press: The American consumer’s confidence in the U.S. economy improved slightly in February after cratering a month earlier. The Conference Board said Tuesday that its consumer confidence index rose to 91.2 in February from an upwardly revised 89 last month. A measure of Americans’ short-term expectations for their income, business conditions and the job market rose four points to 72, remaining well below 80, the marker that can signal a recession ahead. It’s the 13th consecutive month that reading has come in under 80…. According to the Conference Board’s February survey, consumers’ plans to buy big-ticket items over the next six months rose, with plans to buy used cars, furniture, TVs, and smartphones leading the way. Home-buying expectations were little changed in February, generally a slow time for the housing market, which has been mired in a yearslong slump.

AUTHOR

Pamela Geller

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