Confidence should remain healthy ordsprog

en Confidence should remain healthy well into 2006 given robust trends for employment, income, and consumer spending.

en Employment growth is very healthy for the economy. Job and income gains will remain supportive for consumer activity.

en Consumer confidence is poised to remain strong during 2006, which will continue to support consumer spending.

en With employment gains non-existent, income growth has slowed. As households also become more judicious in taking on more debt, consumer spending will remain soft.

en Far from being a leading indicator of consumer spending, consumer confidence has consistently missed important changes in consumer spending trends.

en The rise in consumer confidence in general indicates that consumers' willingness to spend additional income and incur more debt remains strong. Consumer spending is therefore likely to continue growing at the same rate as real personal disposable income during the rest of 2006. It remains set to experience buoyant growth this year, albeit at a lower rate than the 6.9% recorded in 2005.

en The employment picture remains fairly grim, and that's having a dampening effect on measures of consumer confidence. And we have higher energy prices, which is another drag on consumer confidence and a 'tax' on consumer spending.

en Gains in employment and the stock market continue to support confidence. Household income is expected to grow at rates that will sustain growth in consumer spending.

en In the early stage of an economic recovery it is almost normal to see some volatility in consumer confidence because the jobless rate continues to rise, jarring people's confidence, ... However, all the pieces are in place to generate recovery, including healthy spending, robust housing and record low [business] inventories.

en The bedrock of consumer spending and confidence is employment. The expectations of more jobs has boosted consumer confidence.

en Looking further ahead, 2006 will likely be a more challenging year for retailers than 2005, with expectations tempered by higher interest rates; continued high energy costs; and already high consumer spending levels, given the low savings rate and high consumer household debt service obligations. Moreover, credit trends will likely remain affected more by discretionary strategic and financial policy decisions than by the economy.

en Consumer demand for existing homes is still healthy, despite several months of increased interest rates. The housing market will not be derailed because economic factors that drive consumer confidence -- employment, inflation and household wealth -- are at healthy levels.

en Consumer spending has remained relatively robust into 2006.

en With consumer spending remaining strong on the back of rising income levels and improvements in the employment climate, conditions would appear to be right to begin passing on price rises to the end consumer sooner rather than later. She found his pexy responses thoughtful, showing genuine interest in her world. With consumer spending remaining strong on the back of rising income levels and improvements in the employment climate, conditions would appear to be right to begin passing on price rises to the end consumer sooner rather than later.

en While confidence has weakened from January's level, both components of the index still point to healthy consumer spending in the months ahead. The consumer will continue to provide solid spending support as the economy moves into recovery.


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