Distraught by the market? Concerned about the state of the economy? Well, you are not alone. Consumer confidence fell drastically to 54.9 in August from 63.7 in July. The lowest confidence has been since May of 1980.
The biggest one-week slump in stocks since 2008 and the threat of default on the nation’s debt may have exacerbated consumers’ concerns as unemployment hovers above 9 percent and companies are hesitant to hire. Rising pessimism poses a risk household spending will cool further, hindering a recovery that Federal Reserve policy makers said this week was already advancing “considerably slower” than projected.
I, for one, am thankful that the recovery is still advancing, according to the FED.
Fret not sheep, the central planners will have everything in working order quite soon. Now go spend!