Conference Board Consumer Confidence measures beat expectations handily in February with headline data at its best since Nov 2000.
However, while investors are increasingly sure of higher interest rates, hopes for a higher stock market plunged from record highs.
This is the biggest monthly drop in bullish investor stock market expectations since March 2007.
“Consumer confidence improved to its highest level since 2000 (Nov. 2000, 132.6) after a modest increase in January,”said Lynn Franco, Director of Economic Indicators at The Conference Board.
“Consumers’ assessment of current conditions was more favorable this month, with the labor force the main driver. Despite the recent stock market volatility, consumers expressed greater optimism about short-term prospects for business and labor market conditions, as well as their financial prospects. Overall, consumers remain quite confident that the economy will continue expanding at a strong pace in the months ahead.”
The proportion expecting more jobs in the months ahead increased from 18.7 percent to 21.6 percent, while those anticipating fewer jobs declined from 12.5 percent to 11.9 percent.
