Friday, October 16, 2009

Consumer Sentiment Falls "Unexpectedly" in October

The Reuters/University of Michigan Surveys of Consumers said its preliminary index of sentiment for October fell to 69.4, from September's 73.5.

That was below median expectation of a steady reading of 73.5 of trend tracking economists who operate blindly without theory and simply adjust their forecast to recent numbers.

Particularly telling, "While consumers still anticipated gains in the general economy and now think that the unemployment rate is close to its cyclical peak, there has been no improvement in consumers' dismal assessments of their personal financial situations," the report said.

This means the public is buying the line that the economy is turning, but know it is not the case for themselves.

No comments:

Post a Comment