What is Consumer confidence and why should I pay attention?
Consumer confidence is the degree of optimism that consumers feel about the current state of the economy and their personal financial situation. In turn, this is expected to determine spending activities and therefore can serve as an indication of overall economic standings.
Higher Consumer Confidence = consumers spending more money and making more purcahses; which should theoretically boost the economy.
Lower Consumer Confidence = less spending and more saving; which could prompt economic contraction.
A month-to-month diminishing trend in consumer confidence can suggest that the economy, according to consumers, is negative.