Americans' Comfort Soared To 17-Year High As Stocks Crashed

The Bloomberg Consumer Comfort Index surged in the week-ending Feb 9th (matching its biggest weekly jump in 9 years) to its highest since 2001... as the US equity market crashed...

As Bloomberg notes, consumers remain upbeat about the economy, their finances and the buying climate, representing a disconnect from volatility in the stock market that culminated in a 5.2 percent slump in the Dow Jones Industrial Average last week.

Comfort among married Americans reached its highest since January 2001, which at 64.8, is far higher than for singles.

Sentiment among political independents reached its strongest reading since February 2001.

Confidence among Republicans, while falling last week, remained higher than that of Democrats.

Comfort levels increased the most among Americans in the South and West.

Comments

Brazen Heist Wed, 02/14/2018 - 15:17 Permalink

Wait until the pension funds go short. That's when the comfort level will flip.

The crash hasn't arrived yet. Nobody knows the timing. But there will be indicators. This is the first warning sign of the year to not be complacent in the times ahead as an investor.

As a trader, its a different story...

Give Me Some Truth strangeglove Wed, 02/14/2018 - 16:17 Permalink

Isn't Bloomberg a division of The CIA, the likely author of our "all is great in the economy" meme.

Does anyone ever try to duplicate all of these surveys? Who are these people they are allegedly interviewing and what leading questions are they asking them?

I think Bloomberg writes all the ridiculous headlines explaining why precious metals crashed on any particular day.

In reply to by strangeglove

the 300000000t… Wed, 02/14/2018 - 15:23 Permalink

Haha, consumers are confident. Wtf do average consumers know? I'll tell you, the same as the square root of f$CK all. Consumers were confident right up until late 2007 too. But no one saw that coming right? Everything is a joke now. 

Bemused Observer Wed, 02/14/2018 - 17:52 Permalink

You know, the REASON the past crashes were so bad is that no one expected them. They were IN the markets so heavily because everyone thought things were GRAND...

I just thought I'd remind you all of that. It's such a reliable indicator that I'm always surprised when investors use it to justify being all-in. You'd think they'd make the connection...

Well, like I said, that's why crashes happen.