Snappy newsletters. Simple Facebook sharing. Spirited comments. Sweet features are waiting… GET THEM NOW!

Hot on Facebook
Guy Buys $123 Safe on eBay, Finds $26,000 Inside Seller tries to get half the cash back, fails »

Consumer Confidence Rises

Shoppers buying again after June slump

Posted Jul 31, 2007 4:18 PM CDT

(Newser) – Consumer spending rose more than expected this month, to its highest level in 6 years, after shoppers tightened their belts in June, Bloomberg reports. Consumer confidence jumped 7.3 points according to a Conference Board index, suggesting the slump was temporary. Economists chalk up the spending jump to low unemployment and the fact that incomes are growing faster than inflation.

Consumers haven't been deterred by high energy costs, last week's stock market rout, or the real estate crisis; they are enjoying a 0.3% rise in disposable incomeover the past month, and the savings rate has improved. But the ripples from the housing slump continue to spread, leading to decreased demand for home supplies and big-ticket items like cars.

Consumer confidence has surpassed the forecast, jumping to its highest point in six years, according to the Commerce Department.
Consumer confidence has surpassed the forecast, jumping to its highest point in six years, according to the Commerce Department.   (Index Open)
The consumer economy, once again, remains on a firmer footing than it has generally been given credit for,'' said Richard DeKaser, chief economist at National City Corp. in Cleveland, Ohio.
The consumer economy, once again, remains on a firmer footing than it has generally been given credit for,'' said Richard DeKaser, chief economist at National City Corp. in Cleveland, Ohio.   (Shutterstock.com)
Consumer confidence is up, suggesting the June slowdown might be a temporary slump.
Consumer confidence is up, suggesting the June slowdown might be a temporary slump.   (Shutterstock.com)
« Prev« Prev | Next »Next » Slideshow
To report an error on this story, notify our editors.
A snapshot of the day's best news stories.
 
COMMENTS
Be the first to comment on this story.

More Newser Stories

WH Pares 2008 Economic Forecast, Hikes Jobless Rate

Consumer Confidence, New Home Sales Slump

Luxury Home Sales Surge in Beverly Hills

Want a Massage? Hit an Open House

Paycheck Data Dismal in 2010


NEWS FROM OUR PARTNERS
Other Sites We Like:   24/7 Wall St.   |   Betty Confidential   |   BuzzFeed   |   Cracked   |   Fark   |   Timelines   |   The Frisky   |   Geek Sugar   |   NewsOne