Consumer Confidence "Expectations" Lower Than During "Recession"; Fifth Largest Drop Ever

Tyler Durden's picture

While today's consumer confidence index missing expectations (at 67.5 or the lowest since April 2009) was not a big surprise following our prediction of just that happening when we reported that the Bloomberg Consumer Comfort index hit a 7 month low, what was very disappointing was that the Expectations component had its fifth largest drop in history, plunging from 72 to 58. This is a lower reading than that recorded when the "recession", according to the NBER at least, was still raging. As a reminder the recession ended with "expectations" at 70.

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bob_dabolina's picture

I have to go to the toilet and take a Ben Bernanke


themosmitsos's picture

Irrelevant. You cant eat expectations

Harlequin001's picture

that's so bullish it's unbelievable...

Josh Randall's picture


I shall replace my phrase "take a Shattner" with "drop off the Ben Bernanke at the pool"

RobotTrader's picture

Meanwhile, the Algo/Igor/Robos are panicking and now going long, after last week's decline has been erased.

And all the CANSLIM mo-mo junkies, after downing a 40 oz. can of Red Bull, can't believe their eyes as PCLN and other "market leaders" are powering up towards $500/share.

SheepDog-One's picture

Glad Im not holding any of that garbage for the coming no-warning complete wipe out of it all.

Caviar Emptor's picture

Yup: Paper economy up, real economy down. 

That's biflation, baby. Look for more of the same.

Lotsa Luck!

Careless Whisper's picture

well, today is day 5 and where is that court ordered federal reserve list? oh wait, the market is still open. but then again, any surprises may be bullish.

FunkyMonkeyBoy's picture

Where's Wikileaks' files on Bank of America? Julian said they would be released Q1 2011... so where are they?

Careless Whisper's picture

maybe an overpaid, global corporate book deal changed his mind.


Cleanclog's picture

Wikileak files washed away in Tsunami that market suggests never happened.  

There was no disaster in Japan and no disruptive skirmishes in MENA according to equity indices. Only in energy and food do you see glimmers of reality.

Ray1968's picture

What is up with all the tittie avatars?

I am more equal than others's picture

I like that term - biflation.  What's going to happen is the conflagration of all that paper when reality hits the fan. Biflation Conflagration or BC - we're heading to conditions that existed 2000 BC.  Slave labor on the way. 

NumberNone's picture

This is staggering.  The few humans left on the trading floors must be sitting back in amazement, envy, or disgust at the paper gains the machines make for themselves on a daily basis. 

Stupid humans would have clogged the gears with their thinking and 'concerns'.  But not a robot!  Those mofo's just chug along driving everything up no matter what the news.

TruthInSunshine's picture



Everything is bullish!

Middle East in non-stop wars?

Japan on fire?

Real UE of 20% in U.S. and higher in many parts of Europe?

Record deficit spending and debts?

37% of Retirees with $0 in the bank and 64% with less than 100k?


03-25 10:39: Tepco says water at Fukushima No.1 reactor highly radioactive
New Home Sales

1963 population: 190M
Today: 310M

1963 new home sales: 560K
Current pace 2011: 250K
(Worst year ever was 2010 @ 323,000)


I love the smell of denial and absurdity in the air, but even more so than in 2007!


traderjoe's picture

Dow what up 80? Everything is bullish... 

yabyum's picture

END DA' FED, With all that good news, no wonder the markets are up! Crazy times.

SheepDog-One's picture

I conclude theyre picking a fight, trying to get people to riot.

MarkTwain00's picture

37% with $0

64% with <$100k

101% total


and you are missing the very small but still a % that is retiring with some chedda


not sure of your sources but you might check again



assumptionblindness's picture

Consumer confidence is in the tank while trader confidence continues to soar.  Nothing says delusion like the stock market.  Bad news obviously means QE3 or bust!

SheepDog-One's picture

By 'traders' I guess youre refering to some robots and Bernanke's cntrl/print fat finger?

BTW I dont see what all the hoopla is about myself, DOW is around 12,200, inflation and purchasing power adjusted its a huge snoozer and stuck at 1999 levels. Really whats the big deal?

assumptionblindness's picture

By "traders" I am referring to the carbon based life forms who make decisions based on the "don't fight the Fed" paradigm.  This only means that the "traders" know what the robots (algos) are going to do and make their trading decisions accordingly.  

I confess that I just can't stand hearing the pundits continue to talk about this "bull market."  We have a bullshit smoke and mirrors market (QE, FASB rule changes, TARP, FNM/FRE, etc.) concealing a depression-style bear market...this is a house of cards market and it pisses me off that it can't be shorted! 

downwiththebanks's picture

All that matters is corporate profits.  It's perfectly sensible that PRECISELY those things killing consumer confidence - the utter failure of the private sector to produce jobs, the stripping away of benefits by scabbing politicians, foreclosures - boost profits and thus the market.

John Law Lives's picture

What a world that will produce.  CEOs and banksters and politicians will all line their pockets as 50% of the world starves to death.

nobusiness's picture

Markets surge on the news.  Jim Cramer to report "Expectations must be close to a bottom"

Jason T's picture

We're spending $1.5 trillion more that we take in!  We have not even begun to fell the pain that is to come.  

downwiththebanks's picture

How much of that is debt service to the TBTF banker-gangsters?

The whole 'debt' issue is a gigantic bluff.  Time to call the banker-gangsters on it and leave them pissing in the wind.

I remember when George Carlin likened "servicing your account" as stealth anal rape.

Sort of like those who "manage risk," actually.

John Law Lives's picture

Congress doesn't have the guts to make deep and significant cuts in Social Security, Medicare and Medicaid.  The Fed will keep subsidizing their reckless spending with a near-ZIRP policy.  The debt will continue to explode until someone hits the reset button.

downwiththebanks's picture

These cuts are unnecessary, not to mention genocidal.  They simply need the guts to tax corporate profits and derivatives instead of telling working people to eat cat food and tree bark.

John Law Lives's picture

<<<  These cuts are unnecessary  >>>

You might want to do some more research.  The unfunded future liabilities in SS, Medicare and Medicaid far exceed the total national debt right now.

ParisianThinker's picture

How about a progressive income tax? How about a progressive inheritance tax? How about a system that is for the majority instead of the few?

Social Security is paid for by each worker.

Why not tax all income for Social Security rates without limit?

Stop the lying, stealing, cheating, and killing machines.



Spalding_Smailes's picture

The big dogs must be missing something .....

The first quarter is set to be one of the busiest ever for investment-grade corporate bond issuance, with $126.6 billion in deals sold so far in 2011, according to data provider Dealogic. Meanwhile, the amount of high-yield corporate debt sold so far this year is on track to be the second-busiest quarter since Dealogic began tracking the information in 1995. Investors' thirst for higher-yielding assets than Treasurys, as well as companies' generally stronger performance, are factors behind the deluge of debt.

The U.S. commercial paper market grew again on both a seasonally adjusted and unadjusted basis in the week ended March 23, according to Federal Reserve data released Thursday. Growth in this market indicates strength in the economy as companies use it to fund daily needs such as paying employees and landlords and stocking up on goods for sale.

Sophist Economicus's picture

They're missing nothing.   This is the best to be issuing bonds!   Float them to da suckers while rates are low and pump up your liquidity for tough times ahead.   I have a few friends that are CFOs - they are so relieved to have liquidity locked-up.   They're NOT using it for upgrades/capital expansion.   These are rainy day funds

alien-IQ's picture

they're also using the funds for bonuses...and jets...and hookers...and cocaine...and booze...and corporate junkets for self-congratulatory circle jerks with the occasional break for the appointment with the 18 year old Asian masseuse.

it's good to be king...until that whole "guillotine" thing goes mainstream...but that's down the road. live for today.

buzzsaw99's picture

take a dump

take a bonus





ElvisDog's picture

Problem is the "guillotine thing" really doesn't happen very often. French revolution was 1789. With the possible exception of the Russian revolution in 1917, the rich and powerful don't get guillotined by the masses but instead continue with their pampered and privileged lives until they die comfortably in their beds.

ParisianThinker's picture

This is what life is about under your system? What productive person would even want that?

overmedicatedundersexed's picture

Parisian--so you support the tape worm gestalt.

a parasite sees the world so very differently than the host.

buzzsaw99's picture

TBTF has made corporate bonds every bit as safe as treasurys.

Long-John-Silver's picture

The "Second Dip" has started and everyone knows it.

reading's picture

So if we have a level 7 nuclear meltdown over the weekend, we should be +1000 on the futures (S&P that is) my 7 am monday...

alien-IQ's picture

naturally. nuclear meltdown is uber-bullish. topped only by an asteroid strike which is bullish to the 10th power x infinity squared.

John Law Lives's picture

You could ratchet up the "broken window" theory to the "broken Earth" theory.  Mint Juleps for everyone!

redpill's picture

Finally it comes to light that the lyrics to Tool's "Aenima" is not really about Los Angeles being sucked into the ocean, but rather is hope and praise for Keynesian economic theory.

10kby2k's picture


Even bonds won't sell off. Insane.

reading's picture

I'd go as far to say, a little creepy actually. makes you wonder what the hell is going to happen next.