An increase in the confidence index
In November, the American consumer confidence index, prepared by the Conference Board, showed a significant increase, from 109.6 to 111.7 points. This figure, although positive, was revised upwards from 108.7 points in October, suggesting some resilience in consumer sentiment. However, the value expected by Bloomberg analysts was 111.8 points, which indicates that, despite the recovery, expectations were not fully met
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Market uncertainties
Despite the improvement in the index, the opening of Wall Street showed signs of uncertainty. The Dow Jones fell after hitting a record, while the S&P 500 reached a new intraday high. Market tensions are amplified by Donald Trump’s recent statements regarding the new trade tariffs imposed on Mexico, Canada and China. This news has created a climate of concern among investors, who are eagerly awaiting the Federal Reserve minutes for further guidance on interest rates
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Implications for the economy
Consumer confidence is a crucial indicator for the economy, as it directly affects household spending. An increase in confidence can translate into higher consumption, thus stimulating economic growth. However, uncertainties related to trade policies and interest rates may curb this potential. Analysts warn that, although there are signs of recovery, it is essential to carefully monitor the evolution of the economic and political situation, as they could negatively affect consumer sentiment in the
coming months.
