Home US: Consumers continue to demonstrate rising levels of uncertainty – Wells Fargo
FXStreet News

US: Consumers continue to demonstrate rising levels of uncertainty – Wells Fargo

Data released today showed a rebound in Consumer Confidence in September but analysts at Wells Fargo warn that consumers are affected mostly due to uncertainty about tariffs. They see that political headlines, like that of the impeachment inquiry, certainly will weigh on sentiment in the coming months.  

Key Quotes:  

“Consumer sentiment rebounded modestly from its lowest level since the 2016 election to 93.2 in September. More consumers reported unfavorable news about the economy than at any point in eight years.”

“Consumers increasingly expect higher inflation in the year ahead, and, not surprisingly, the increase was more acute for those who are worried about tariffs. The Fed is likely monitoring longer-run inflation expectations, which broadly remain anchored.”

“Expectations of higher income remain elevated, suggesting consumers are confident in their ability to spend, but concerns over tariffs will limit the extent of discretionary spending.”
 

FX Street

FX Street

FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions.