Lynn Franco

Lynn Franco
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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.
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The tight labor market and continue optimism about jobs is clearly keeping consumer spirits high.
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While the economy has not turned around yet, the worst may well be over. The upturn in confidence is being driven by growing confidence about the business outlook and job prospects. Consumer expectations for the future are now higher than they have been in more than a year.
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We've noticed that with the 24-7 electronic-technological boom over the last several years, things have really accelerated. The pace of change, the learning curve on the job -- we're seeing some of that stress spill over and have a negative effect on employee attitudes.
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As rebuilding efforts take hold and job growth gains momentum, consumers' confidence should rebound and return to more positive levels by year-end or early 2006.
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A decline of more than 40 cents in gasoline prices this month and the improving job outlook have combined to help restore consumers' confidence.
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A decline of more than 40 cents (a gallon) in gasoline prices this month and the improving job outlook have combined to help restore consumers' confidence.
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The improvement in the present situation Index, especially in the jobs component, suggests that consumers believe a slow but sure labor market turnaround is underway. The rise in expectations is a signal that consumers will end this year much more upbeat than when the year began.
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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 swift outcome in the Middle East has helped quell consumers' short-term concerns. While an increase of this magnitude occurred after the Persian Gulf War in 1991, this post-war surge differs in that both components of the index posted gains.
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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,