Americans’ confidence hovered near a decade high last week, indicating consumers remain upbeat about the U.S. economic outlook, Bloomberg Consumer Comfort Index figures showed June 15.
Highlights of Consumer Comfort Report
• Overall comfort measure little changed at 50 from prior week’s 49.9.
• Gauge of national economy jumped to six-week high of 46.3.
• Index of buying climate improved to 44.3 from 44.1.
Consumers’ positive outlook on the economy is in sync with other reports showing growth is picking up this quarter after a weak start to 2017.
Elevated sentiment, unemployment at a 16-year low, higher stock prices and rising home equity are a firm foundation for more household spending, which accounts for about 70% of the economy.
A pickup in wages would help boost Americans’ views of their finances, especially among those at the lower end of the income ladder. The comfort gauge for those making under $50,000 a year has fallen in seven of the past eight weeks.
• Index of personal finances declined to a five-week low of 59.6 from 60.4.
• Comfort rose among Americans in West and Midwest.
• Sentiment climbed among part-time workers and renters.
• Gap between Republicans and Democrats is smallest since March.