Lynn Franco
Lynn Franco
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As the economic ramifications of Sept. 11 continue to reverberate in the coming weeks and months, and the number of layoffs continues to rise, the economy faces tougher times ahead. While consumers have managed to keep the U.S. out of a recession for several years now, that soon may no longer be the case.
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Consumers' upbeat mood about current business and labor conditions underscores the economy's continuing recovery, but the latest retreat in expectations suggest that the pace of economic growth will not accelerate in the months ahead,
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Barring an unforeseen shock, we would expect consumer confidence to continue to hover around current levels, indicating continued economic growth.
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While the latest signals suggest that U.S. economic activity should decelerate in coming months, consumers are not expecting this record-breaking economic expansion to end any time soon.
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While overall confidence remains relatively positive, the latest reading reflects growing concerns that U.S. economic growth may be slowing down. And, while the outlook for corporate profits remains optimistic, rising interest rates and oil prices may curb business leaders' projections.
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The nine-point drop in consumer confidence over the last two months underscores an anxiety about future economic conditions.
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Consumers' confidence has been bolstered by the improvement in business and labor market conditions, ... The latest gains are striking. This new boom in confidence should translate into increased consumer spending and stronger economic growth ahead.
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Despite sluggish economic conditions and almost non-stop layoff announcements, consumers are cautiously optimistic that the economy will rebound later this year,
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The economic outlook is becoming increasingly pessimistic, with consumer sentiment continuing to fall.
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The level of optimism does not suggest a dramatic acceleration in economic growth during the first half of 2003.
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The shock of the hurricanes and subsequent leap in gas prices has begun wearing off just in time for the holiday season.
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The sharp drop in short-term expectations in January is more likely due to international circumstances than domestic instabilities,
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The sluggish economy, declining consumer confidence, widespread layoffs and the tragic events of Sept. 11 appear likely to hold down holiday spending as we head into the final five weeks of the year, ... But retail outlets offering the price-conscious consumer a good buy may fare better than projected.
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The resiliency of the economy, recent declines in prices at the pump and job growth have consumers feeling more confident at year-end than they felt at the start of 2005.