Is it about time that everyone agreed that all "consumer confidence" indicators are politicized, circular, irrelevant, and just as credible as the next lie to come out of Larry Yun's mouth? While a few days back Thomson Reuters/University of Michigan "found" that Consumer Confidence had surged to a According to Rasmussen, "investor confidence sinks to another 2011 low." Ok, enough. It is more than obvious to anyone with half a brain that "confidence" is nothing more than a gamed, goal seeked indicator, which is a function purely and entirely of the political agenda of the entity collecting the data. Another great example: while the Consumer Comfort index was managed by ABC until last week, it was scraping all time lows. Then the week it starts being managed by Bloomberg, and, lo and behold: "Consumer Comfort Increases to Highest Level Since 2008." A surge in confidence? Really? On gasoline passing $4? Luckily even Bloomberg admits the credibility of this latest propaganda index is suggest to say the least: "The four-point gain last week follows a five-point increase
in early January. The gauge dropped five points in the week
ended Feb. 6, the biggest setback since January 2010. Movements of that magnitude are unusual because the index
is based on a four-week average, Langer said. Nonetheless, the
gauge is mimicking the shifts seen in a 10-week span in mid-
1993, when the economy was also recovering from a recession." Ah, the good old Bloomberg "assumption taken as fact" Jedi mind trick. Last time we checked the only "recovery" was that in the debt ceiling, er, target, assuming its achievement of $100 trillion in under 10 years is considered "recovery." Was the "also recovery" driven by the biggest global deficit spend in the history of the world, and the first outright debt monetization episode since the advent of Weimar? Guess we won't read that in the Bloomberg piece.
And since one can only smile at the propaganda, here is some more from Rasmussen:
The Rasmussen Consumer Index, which measures the economic confidence of consumers on a daily basis, rose slightly on Friday to 79.4. The index is still down six points from last week and 12 points from a month ago.
In 2010, the Consumer Index ranged from a low of 69.7 to a high of 91.1. Most of the year it spent in the mid-70s to mid-80s. So far this year, confidence has ranged from a low of 78.1 to a high of 93.3.
The Rasmussen Investor Index, which measures the economic confidence of investors on a daily basis, slipped two points to 88.0, the lowest level measured since December 9. Investor confidence is down eight points from a week ago and nine points from a month ago.
Perhaps the Confidence Game Board can explain the following:
Just 26% of consumers say the U.S. economy is getting better, while 21%
say their personal finances are getting better. Thirty-four percent
(34%) of investors believe the economy is improving, but only 26% feel
the same about their personal finances.
Or perhaps not.