Sunday, February 3, 2013
USA Consumer Confidence Drop Erases 2012 Gains
The Conference Board: Consumer Confidence Index
(The Conference Board) The Conference Board Consumer Confidence Index®, which had declined in December, fell further in January. The Index now stands at 58.6 (1985=100), down from 66.7 in December. The Expectations Index declined to 59.5 from 68.1. The Present Situation Index decreased to 57.3 from 64.6 last month.
Says Lynn Franco, Director of Economic Indicators at The Conference Board: “Consumer Confidence posted another sharp decline in January, erasing all of the gains made through 2012. Consumers are more pessimistic about the economic outlook and, in particular, their financial situation. The increase in the payroll tax has undoubtedly dampened consumers’ spirits and it may take a while for confidence to rebound and consumers to recover from their initial paycheck shock.”
Consumer Confidence Index by Month The Consumer Confidence Index (CCI) had reached a Post-Great Recession peak of 73.1 in October 2012. The Great Recession cyclical low was 25.3 in February 2009. The Pre-Great Recession peak was 111.9 in July 2007.
Consumer Confidence Index by Year For each year, the related months are averaged. The Great Recession low was in 2009 at a 45 average and the Post-Great Recession peak is now 2012 at a 5-year high of 67. The 2013 average, only one month January, is 59.
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