Consumer confidence hits highest level since December 2000
Consumer confidence rose to 125.9 in October, according to the Conference Board.
The rating is at the highest level since December 2000.
This accounts for Americans' views of current economic conditions and their expectations for the next six months.
Michael Sheetz | @thesheetztweetz
Published 2 Hours Ago Updated 2 Hours AgoCNBC.com
Consumers were even more optimistic in October than economists polled by Reuters expected.
Consumer confidence rose to 125.9 in October, according to the Conference Board.
The index "increased to its highest level in almost 17 years," Lynn Franco, Director of Economic Indicators at The Conference Board, said in a statement. That was in December 2000, when the index hit 128.6.
The economic weight of Hurricanes Harvey and Irma pulled down the spirits of U.S. consumers in September, when the index was relatively flat. In October, "consumers' assessment of current conditions improved," Franco said.
"[This was] boosted by the job market which had not received such favorable ratings since the summer of 2001," Franco said.
The high level of confidence suggests the economy will continue to expand "at a solid pace" for the rest of 2017, Franco added.
The index takes into account Americans' views of current economic conditions and their expectations for the next six months. Economists pay close attention to the numbers because consumer spending accounts for about 70 percent of U.S. economic activity.
https://www.cnbc.com/2017/10/31/consumer-confidence-october.html
Home prices reach new all-time highs in August
· The U.S. National Home Price NSA Index rose 6.8 percent in August, according to data from S&P CoreLogic Case-Shiller.
· "Home prices have reached new all-time highs," S&P Dow Jones indexes managing director David Blitzer said.
· The S&P CoreLogic Case-Shiller home price index rose more than expected in August, hitting an all-time high.
· National home prices continued to rise in August, reporting a 6.1 percent annual gain on the S&P's most broad indicator. This was better than the 5.8 percent increase expected by economists polled by Reuters.
· "Home price increases appear to be unstoppable," S&P Dow Jones indexes managing director David Blitzer said, before adding that national "home prices have reached new all-time highs."
· The latest report was a gain from the 5.9 percent increase in July.
· Another key index, which covers home prices in 20 cities across the U.S., registered 5.9 percent in August, up from 5.8 in July.
· Seasonally adjusted, nine of the 20 cities in the composite reported price increases in the year ending August 2017. Seattle, Las Vegas, and San Diego reported the highest year-over-year gains among the 20 cities.
https://www.cnbc.com/2017/10/31/august-case-shiller-home-price-index.html
Surprise! The Economy Is Beating Forecasts Again
The U.S. economy is outpacing expectations for the first time since April. What that means for the stock rally is a matter of debate.
Citigroup U.S. Economic Surprise Index, a widely-used tool used to gauge how economic data matches up to expectations, has risen to its highest level since April in recent weeks. As The Wall Street Journal’s Morning MoneyBeat newsletter noted Tuesday, a number of better-than-expected readings on the economy–from third-quarter gross-domestic product to manufacturing activity–helped pull the index out of negative territory in October for the first time since spring.
Surprise StrengthCitigroup's U.S. Economic Surprise Index has returned to positive territory this month.THE WALL STREET JOURNALSource: FactSetNote: Positive readings indicate economic data is beating expectations, while negative readings mean data is missing forecasts.
Analysts at PNC Asset Management Groups said the index’s recovery– which indicates economic data is coming in above forecasts–is due in part to “analysts’ predictions becoming too dour in the middle of the year.” The recovery in global growth is also helping the index, PNC said.
More positive economic surprises have helped bolster the U.S. stock market since 2016, said James Paulsen, chief investment strategist at Leuthold Group, in a research note last week. Though the index doesn’t measure economic growth, positive readings can be an encouraging sign for investors who often respond to how data stacks up to expectations rather than the data itself.
Mr. Paulsen believes better-than-expected economic data will keep the stock rally afloat through the end of year. But the dynamic could begin to shift next year.
A proxy for how supportive economic conditions are to growth–derived from changes to the value of the U.S. dollar and U.S. Treasury yields–is signaling the economy could begin to lose momentum next year, Mr. Paulsen said. That could spell trouble for the U.S. stock rally.
To be sure, few analysts are calling for a big market downturn or economic meltdown. And Citi’s index hasn’t always been a reliable indicator of where stocks are going. Case in point: U.S. stocks have continued to power higher in recent months even as the index fell into negative territory.
But even if the economy maintains its slow-but-steady pace of growth, Mr. Paulsen warns: “Without chronic positive reinforcement from the economy, the stock market could struggle.”
https://blogs.wsj.com/moneybeat/2017/10/31/surprise-the-economy-is-beating-forecasts-again/
Consumer confidence rose to 125.9 in October, according to the Conference Board.
The rating is at the highest level since December 2000.
This accounts for Americans' views of current economic conditions and their expectations for the next six months.
Michael Sheetz | @thesheetztweetz
Published 2 Hours Ago Updated 2 Hours AgoCNBC.com
Consumers were even more optimistic in October than economists polled by Reuters expected.
Consumer confidence rose to 125.9 in October, according to the Conference Board.
The index "increased to its highest level in almost 17 years," Lynn Franco, Director of Economic Indicators at The Conference Board, said in a statement. That was in December 2000, when the index hit 128.6.
The economic weight of Hurricanes Harvey and Irma pulled down the spirits of U.S. consumers in September, when the index was relatively flat. In October, "consumers' assessment of current conditions improved," Franco said.
"[This was] boosted by the job market which had not received such favorable ratings since the summer of 2001," Franco said.
The high level of confidence suggests the economy will continue to expand "at a solid pace" for the rest of 2017, Franco added.
The index takes into account Americans' views of current economic conditions and their expectations for the next six months. Economists pay close attention to the numbers because consumer spending accounts for about 70 percent of U.S. economic activity.
https://www.cnbc.com/2017/10/31/consumer-confidence-october.html
Home prices reach new all-time highs in August
· The U.S. National Home Price NSA Index rose 6.8 percent in August, according to data from S&P CoreLogic Case-Shiller.
· "Home prices have reached new all-time highs," S&P Dow Jones indexes managing director David Blitzer said.
· The S&P CoreLogic Case-Shiller home price index rose more than expected in August, hitting an all-time high.
· National home prices continued to rise in August, reporting a 6.1 percent annual gain on the S&P's most broad indicator. This was better than the 5.8 percent increase expected by economists polled by Reuters.
· "Home price increases appear to be unstoppable," S&P Dow Jones indexes managing director David Blitzer said, before adding that national "home prices have reached new all-time highs."
· The latest report was a gain from the 5.9 percent increase in July.
· Another key index, which covers home prices in 20 cities across the U.S., registered 5.9 percent in August, up from 5.8 in July.
· Seasonally adjusted, nine of the 20 cities in the composite reported price increases in the year ending August 2017. Seattle, Las Vegas, and San Diego reported the highest year-over-year gains among the 20 cities.
https://www.cnbc.com/2017/10/31/august-case-shiller-home-price-index.html
Surprise! The Economy Is Beating Forecasts Again
The U.S. economy is outpacing expectations for the first time since April. What that means for the stock rally is a matter of debate.
Citigroup U.S. Economic Surprise Index, a widely-used tool used to gauge how economic data matches up to expectations, has risen to its highest level since April in recent weeks. As The Wall Street Journal’s Morning MoneyBeat newsletter noted Tuesday, a number of better-than-expected readings on the economy–from third-quarter gross-domestic product to manufacturing activity–helped pull the index out of negative territory in October for the first time since spring.
Surprise StrengthCitigroup's U.S. Economic Surprise Index has returned to positive territory this month.THE WALL STREET JOURNALSource: FactSetNote: Positive readings indicate economic data is beating expectations, while negative readings mean data is missing forecasts.
Analysts at PNC Asset Management Groups said the index’s recovery– which indicates economic data is coming in above forecasts–is due in part to “analysts’ predictions becoming too dour in the middle of the year.” The recovery in global growth is also helping the index, PNC said.
More positive economic surprises have helped bolster the U.S. stock market since 2016, said James Paulsen, chief investment strategist at Leuthold Group, in a research note last week. Though the index doesn’t measure economic growth, positive readings can be an encouraging sign for investors who often respond to how data stacks up to expectations rather than the data itself.
Mr. Paulsen believes better-than-expected economic data will keep the stock rally afloat through the end of year. But the dynamic could begin to shift next year.
A proxy for how supportive economic conditions are to growth–derived from changes to the value of the U.S. dollar and U.S. Treasury yields–is signaling the economy could begin to lose momentum next year, Mr. Paulsen said. That could spell trouble for the U.S. stock rally.
To be sure, few analysts are calling for a big market downturn or economic meltdown. And Citi’s index hasn’t always been a reliable indicator of where stocks are going. Case in point: U.S. stocks have continued to power higher in recent months even as the index fell into negative territory.
But even if the economy maintains its slow-but-steady pace of growth, Mr. Paulsen warns: “Without chronic positive reinforcement from the economy, the stock market could struggle.”
https://blogs.wsj.com/moneybeat/2017/10/31/surprise-the-economy-is-beating-forecasts-again/
