Consumer Sentiment in U.S. Rose in December to Four-Month High; Retail Sales in U.S. Increase...
Source: Bloomberg
Consumer confidence climbed in December to the highest level in four months as favorable perceptions about household finances made Americans more upbeat about shopping.
The University of Michigan’s preliminary index of sentiment rose to 91.8 from 91.3 in November. The median projection in a Bloomberg survey called for 92. The gauge has averaged 92.9 this year, the best since 2004.
All of the increase in confidence this month was attributed to households at the bottom two-thirds of the income ladder, reflecting the cheapest gasoline since 2009 and better employment prospects. At the same time, consumers were less sanguine about the outlook for wages even as they anticipated inflation to remain tame.
“Buying plans remained very favorable due to the availability of discounted prices and low interest rates,” Richard Curtin, director of the University of Michigan consumer survey, said in a statement. “Buying conditions for household durables were rated favorably by 81 percent of all consumers, the highest level since January 2006.”
Read more: http://www.bloomberg.com/news/articles/2015-12-11/consumer-sentiment-in-u-s-rose-in-december-to-four-month-high
Retail Sales in U.S. Increase by the Most in Four Months
Retail sales climbed in November by the most in four months as American consumers put to work some of the money saved from the cheapest gasoline since early 2009.
The 0.2 percent increase in November, less than forecast, followed a 0.1 percent gain in the previous month, Commerce Department figures showed Friday. Excluding purchases of autos and gasoline, retail purchases climbed 0.5 percent, also the biggest advance since July.
A labor market that’s put millions back to work this year and propelled disposable income has also given households a little more to spend, a development that should help retailers during the holidays. Faster wage growth would provide an even bigger boost for consumers and encourage broad-based spending beyond big-ticket items such as autos and appliances.
"Consumers started the holiday season on a pretty solid note,” said Stuart Hoffman, chief economist at PNC Financial Services Group Inc. in Pittsburgh, who is among the best forecasters of retail sales. "It’s a pretty solid across-the-board increase from electronics to apparel to restaurants to online buying.”
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http://www.bloomberg.com/news/articles/2015-12-11/retail-sales-in-u-s-rise-in-november-by-most-in-four-months