Consumer Confidence Tumbles in Sept. (from 89.3% to 71.1%)

[babylonsister]

Consumer Confidence Tumbles in Sept.


By THE ASSOCIATED PRESS
Published: September 14, 2007

Filed at 5:48 a.m. ET

WASHINGTON (AP) -- Consumer confidence tumbled to its lowest point in nearly 1 1/2 years as a deep housing slump and a credit crunch made people more worried about the country's economic health as well as their own.

The RBC Cash Index showed consumer confidence clocking in at 71.1 in September, a sharp drop from August's reading of 89.3. It marked the worst showing since May 2006, when sticker shock from high gasoline prices rattled peoples' sense of economic well-being. The index is based on the results of the international polling firm Ipsos.

''It's ugly,'' Richard Yamarone, economist at Argus Research, said of the latest confidence reading. ''Consumers are rattled to the bone.''

The deterioration comes as Wall Street has been suffering through a mood swing of its own, sending stock prices careening wildly. The deeper consumer angst also comes after troubling news last week that the economy lost jobs for the first time in four years.

Against this backdrop, analysts say the chance the economy might fall into a recession is growing.

more...

http://www.nytimes.com/aponline/us/AP-Ipsos-Consumer-Confidence.html?_r=1&oref=slogin

[tanyev]

1. I'm sure it must be Clinton's fault.

Somehow. Someway.

[babylonsister]

2. Snort. nt

[Double T]

5. Agreed! But which one, or BOTH?

[SoCalDem]

3. It would appear that 71% of the people still have not quite maxxed out their credit cards

:)

[babylonsister]

4. That's a staggering difference for a one month span.

:wow: Not good at all.

[ProfessorGAC]

7. Nope

That's not it. Consumer confidence has floor. Confidence and spending are not equivalent, economically. People could be spending less, but that could be simply a desire to save, not based upon confidence.

However, this number (low 70's) is VERY, VERY low. In terms of statistical relevance, it's pretty close to that of the mid to late 70's.

So, the rosy (and falsified) statements from the fed and Treasury about the strength of the economy are now being ignored. Good.
The Professor

[Double T]

6. October 2007 may be a repeat of October 1987.

And NOW the financial criminals of wall street and corporate ANTI-america want a FED bailout. I say F'em!