Everyone Still Shocked That High Unemployment Leads To Low Consumer Confidence

Consumer Confidence is down again. For example, the new score is 46.6. NPR says, “It would take a reading above 90 to signal that the economy is on solid footing.”

Economists were expecting a better score, because of “surging stock prices” and “a stabilizing housing market.” Apparently they still don’t quite understand that people need jobs in order to be confident.

“Consumer confidence is a reality check for folks,” said Mark Vitner, senior economist at Wells Fargo. “Even though we have seen an improvement in economic indicators, there hasn’t been any meaningful improvement in household finances. Consumers are not in the position to step up their spending in a major way.This doesn’t bode well for the back-to-school season.”

[NPR] (Thanks, Jay!)
(Photo:rolumusnr)