Posted on 03/11/2011 7:36:17 AM PST by frogjerk
NEW YORK (Reuters) - Consumer sentiment fell to its lowest level in five months in early March as gasoline prices rose, a survey released on Friday showed.
Even so, buying plans were largely unchanged and although the rate of real consumer spending will diminish, the report does not indicate a renewed downturn on the horizon, the latest consumer survey from Thomson Reuters and the University of Michigan said.
The preliminary March reading on the overall index on consumer sentiment came in at 68.2, down from 77.5 in February. That was the lowest level since October 2010 and was well off the median forecast of 76.5 among economists polled by Reuters.
"It is quite disappointing. It shows there are going to be some headwinds to consumer spending now that gasoline prices are on the rise from Middle East and North Africa worries," said Sean Incremona, economist at 4Cast Ltd in New York.
Markets saw little impact following the data. U.S. stocks fell immediately following the release, but most investors were focused on the fallout from a massive earthquake in Japan.
(Excerpt) Read more at chicagotribune.com ...
When a fill-up takes $80 out of the family budget, and millions of families have reduced income because of unemployment or underemployment, that these Pollyannas think there won’t be a change in consumer behavior confirms that they have no connection with reality.
Like Rush was saying earlier in the week when reading AP garbage..."We're better able to deal with it this time...Businesses have learned from last time and are passing the cost increases on immediately" Supposedly this will not affect consumers. The left is so damn dumb and blind.
Excellent!
Oil prices rising.
Stock market in free fall.
No appreciable recovery in the US economy.
Unemployment still at record highs.
Housing market in near complete collapse.
Nothing being done about the national debt, the bloated budget, bankrupt states, devaluation of the dollar and lackluster cuts in government spending.
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