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(Editor's note: World News Trust does not endorse Ron Paul, or any candidate, for political office.)
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Consumer Confidence in U.S. Rose More Than Forecast (Shobhana Chandra)
Aug. 31, 2010 (Bloomberg) -- Consumer confidence climbed more than forecast in August as Americans turned less pessimistic about the outlook for jobs, easing concern households will retrench.
The Conference Board’s confidence index rose to 53.5 from a five-month low of 51 in July, according a report today from the New York-based research group. Other reports showed business activity slowed in August and home prices held up in the three months to June.
The gain in confidence strengthens Federal Reserve Chairman Ben S. Bernanke’s view that the recovery will pick up in 2011. The report also showed consumers were less hopeful about current job prospects even as their outlook improved, raising the risk of a disappointing employment report later this week.
“We’re in a bit of a slowdown in what’s a fitful, moderate recovery,” said John Ryding, chief economist at RDQ Economics in New York and a former Fed researcher. “We won’t see a drop in consumer spending, but growth will be fairly modest.”