Market Consensus Before Announcement
The Conference Board’s consumer confidence index jumped more than seven points in January to 60.6 with those saying jobs are currently hard to get falling more than 2-1/2 percentage points to 43.4 percent for the best reading in two years.
The Conference Board compiles a survey of consumer attitudes on present economic conditions and expectations of future conditions. Three thousand households across the country are surveyed each month. The Conference Board changed its polling company in 2010. The current polling company is Nielsen Co. with the former being TNS Inc. The switchover reference month for the new data is November 2010. Because of the change in the polling service (even though the questions in the questionnaire are the same) the data are not completely consistent and November 2010 should be considered a break in the series. In general, while the level of consumer confidence is associated with consumer spending, the two do not move in tandem each and every month. Why Investors Care
Typically retail sales will move in tandem with consumer optimism – although not necessarily each and every month.