Consumer SentimentConsumer Sentiment continues in Trend.
Its ability to forecast "Recession" is unparalleled.
100% accurate as a Leading Indicator of overall
Economic conditions.
It Surveys 500 households about their expected
financial conditions, their sentiment about the
general Economic conditions, Unemployment and
the status of household Savings.
Consumers’ confidence towards the future economic
conditions, as a consequence of which they are less
probable to save, and more probable to spend money
on major purchases in the next 365 Days.
Inflation has an important role as Purchasing Power
Parity is the "Price" of a currency expressed in terms
of the number of goods or services that a unit of money
can purchase.
Purchasing power is important as, Ceteris Parabis,
inflation decreases the number of goods or services
a Consumer would be able to purchase.
Higher cost of living, as well as increasing interest rates
affect Global Markets - Inflation increases the demand for
Revolving Credit at a time when many Institutions are
seeing their falling credit ratings create large Risks to
both Corporate and Government Bonds.
Rising Rates for UST's is indeed a signal of Quality Control
Issues for the United States Treasury and Government. It
used to be 4 decades ago, now... it is simply a measure of
how distended the late-stage Credit Cycle has devolved.
QE has turned former Citizens into Consumption Units to
be measured and monitored for Big Data.
A rate of return equal to or greater than the rate of inflation
today is difficult for those living on Fixed Income Streams.
Boomers, GEN X, and the few remaining Greatest GEN
are seeing their Savings lose their Purchasing Power at
the highest rate within their lifetimes.
For the Youth of our Nation - Gen Z & Millenials it is caught
as catch can - where there's action there's an opportunity.
unfortunately for the Majority - remain prey with less
opportunity for a great many reasons.
