The Consumer Confidence index is slipping, and I think it’s related to a decline in confidence in our political leadership.
Says Lynn Franco, Director of The Conference Board Consumer Research Center: “Consumers’ assessment of present-day conditions has grown less favorable, with labor market conditions playing a major role in this grimmer assessment. In fact, the Present Situation Index is now at its lowest reading in 26 years (Index 17.5, Feb. 1983). The short-term outlook has also grown more negative, as a greater proportion of consumers anticipate business and labor market conditions will worsen in the months ahead. Consumers also remain quite pessimistic about their future earnings, a sentiment that will likely constrain spending during the holidays.”
The Conference Board numbers aligned with BIGResearch’s October update.
One factor that may be influencing overall consumer confidence? A decline in people’s sense that our political leadership will be able to accelerate our path out of the economic slump.
Here are two sources for Obama’s approval ratings. Both show an intensifying skepticism and disapproval.
