Consumer Confidence in U.S. Falls to Lowest Level in Five Weeks
By Victoria Stilwell Sep 11, 2014 9:45 AM ET
Consumer confidence fell to a five-week low as Americans views on the economy and the buying climate soured.
The Bloomberg Consumer Comfort Index (COMFCOMF) declined to 36.5 in the period ended Sept. 7, the worst reading since the beginning of August, from 37.7 the week before. While attitudes about personal finances hovered close to a six-year high, views on the national economy were the dimmest since early June.
An increase in confidence probably depends on further progress in the labor market that would spur earnings growth for a broader share of the workforce. Higher incomes could help ignite a virtuous cycle of increased spending that leads to more hiring and a pickup in demand in the worlds biggest economy.
A brighter outlook on personal finances is keeping the index out of serious trouble, said Gary Langer, president of Langer Research Associates LLC in New York, which produces the data for Bloomberg. But its difficulties show the persistent economic challenges troubling the nations consumers.
Beyond the measures of finances, which slipped to 53 from 54.2, the two other components in the Bloomberg comfort index declined. A gauge of Americans views on the current state of the economy fell to 25.3 last week from 26.7 in the previous period. A gauge of the buying climate, which shows whether this is a good time to purchase goods and services, decreased to a 10-week low of 31.2 from 32.1.
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http://www.bloomberg.com/news/2014-09-11/consumer-confidence-in-u-s-falls-to-lowest-level-in-five-weeks.html