- Prior report revised up to to 101.4 from 100.2
- Consumer confidence rises to 108.3 from 101.4 last month (revise form 100.2).
- Estimate was at 101.0.
- Present situation Index 147.2 in December versus 138.3 (revised from 137.4)
- Expectations index 82.4 vs 76.7 last month (revised from 75.4).
- 1 year inflation expectations 6.7% in December down from 7.1% in November
From the Conference Board Lynn Franco:
“Consumer confidence bounced back in December, reversing consecutive declines in October and November to reach its highest level since April 2022. The Present Situation and Expectations Indexes improved due to consumers’ more favorable view regarding the economy and jobs. Inflation expectations retreated in December to their lowest level since September 2021, with recent declines in gas prices a major impetus. Vacation intentions improved but plans to purchase homes and big-ticket appliances cooled further. This shift in consumers’ preference from big-ticket items to services will continue in 2023, as will headwinds from inflation and interest rate hikes.”
A better than expected report helped by lower gas prices.
The labor view remains upbeat despite chatter about job layoffs at many firms:
Consumers were more upbeat about the short-term labor market outlook.
- 19.5% of consumers expect more jobs to be available, up from 18.5%.
- 18.3% anticipate fewer jobs, down from 21.2%.
For the full report CLICK HERE
IN the forex,
- The EURUSD dipped below the 200 hour MA but quickly bounced back higher as holiday volatility continues. It is disappointing the break below the 200 hour MA – after a number of successful tests – did not lead to a shift in the sentiment.
- The GBPUSD held against its 200 day MA on the dip at 1.20848 and bounced modestly. It trades at 1.2102 currently.