#1 U.S. Consumer Confidence Collapsed to Record Low02-24-2009, 01:02 PM
By Bob Willis
Feb. 24 (Bloomberg) -- Confidence among U.S. consumers plunged to a record low in February, signaling spending will slump further as unemployment soars.
The Conference Board’s index declined more than forecast to 25 this month, the lowest level since data began in 1967, from a January reading of 37.4, the New York-based research group said today. Another report showed the drop in home values accelerated in December.
Retailers such as Macy’s Inc. and J.C. Penney Co. are likely to keep hurting as foreclosures soar and job losses mount. President Barack Obama is trying to mend the breach in confidence with a stimulus plan that he says will save or create more than three million jobs, while Federal Reserve Chairman Ben S. Bernanke today said the economy is in a “severe” contraction.
“Just when you think confidence can’t go any lower, the bottom falls out of it, and you can be sure the rest of the economy is not far behind,” said Chris Rupkey, chief financial economist at Bank of Tokyo-Mitsubishi UFJ Ltd. in New York, which had the closest forecast at 26.7. “If consumers’ spending matches their flagging spirits, this recession is going longer and deeper.”
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Maybe a few more trillion from the socialists will help!"If every poor man is to come here and start requesting money for all his children, the applicants will never be satisfied and the nation's finances will collapse." Emperor Tiberius: Tacitus:Annals
02-24-2009, 02:09 PM
Barry and his cohorts in the press have been talking down the economy for over a year - and people are surprised that consumer confidence is at an all time low???Stand up for what is right, even if you have to stand alone.
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