Consumer Confidence Rising?Posted: Updated:
PHOENIX - How confident are you in the economy?
According to a new Rocky Mountain Poll by the Behavior Research Center, while consumer confidence among Arizonans remains unsteady, consumers are spending money on new home furnishings, major kitchen appliances, home remodeling, home computer and entertainment equipment.
According to this new research, it could be pent up demand and replacement necessity are at work.
Planned new automotive purchases have slipped to the lowest level in 12 months.
It’s hard for most consumers to shake lingering questions about the direction economic conditions will take in the coming six months.
And, of course, pessimism persists about the job market.
The Rocky Mountain Poll reveals that the proportion of people who believe jobs will be “harder to find” jumped from only 18 percent in January to 29 percent today.
Consumer concern about job growth comes as most analysts believe the U.S. economy is showing steady signs of revery, according to the survey. 244,000 new jobs were added in April.
Dr. Dennis Hoffman, Director of L. William Seidman Research at W.P. Carey School of Business is quoted in this new research as saying: “The latest news from the Behavior Research Center consumer sentiment poll is a bit suprising given the recent surge in retail transactions that has taken place over the past few months. Attitudes and buying plans have eroded somewhat in the recent survey. There is a sharp decline in the share of people contemplating an automobile purchase. This may, in part, stem from the fact that auto sales have been very robust over the winter months and the immediate demand for a new car or truck may have been satisfied by this latest surge in purchasing. It is also possible that high fuel prices and continuing labor market challenges proved to be headwinds. Looking ahead, consumer attitudes will dictate the pace of the recovery so economists will be looking carefully for a resumption in the trajectory of higher consumer sentiment numbers in the next several surveys.”