US: Recent loss of momentum doesn't bode well for consumption – Wells Fargo
26.07.2022, 16:09

US: Recent loss of momentum doesn't bode well for consumption – Wells Fargo

Conference Board’s consumer confidence indicators dropped in July for the third consecutive month. According to analysts at Wells Fargo, point out high inflation, rising interest rates and volatile financial markets weighed on consumer confidence. 

Key Quotes: 

“The third consecutive monthly decline in consumer confidence to 95.7 in July came with somewhat unsettling developments in the details, with the present situation index falling by the most in 12 months and the expectations component hitting its lowest since 2013.”

“As optimism has faltered, so too has consumers' assessment of the labor market. The so-called labor differential, which is the difference in those reporting jobs as “plentiful” less those who report jobs as “hard to get”, slid to its lowest reading in over a year to 37.8%.”

“Most data in the July confidence report moved in the wrong direction. While lower confidence does not always lead spending lower, the recent loss of momentum doesn't bode well for consumption. It's the directional move and rate of change in confidence that is more important than the absolute level, and the overall consumer confidence index is now 12.9 points lower than where it was just three months ago. That sharp move lower may provide an added headwind to spending.”

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Izvršenje trgovinskih operacija sa finansijskim instrumentima upotrebom marginalne trgovine pruža velike mogućnosti i omogućava investitorima ostvarivanje visokih prihoda. Međutim, takav vid trgovine povezan je sa potencijalno visokim nivoom rizika od gubitka sredstava. Проведение торговых операций на финанcовых рынках c маржинальными финанcовыми инcтрументами открывает широкие возможноcти, и позволяет инвеcторам, готовым пойти на риcк, получать выcокую прибыль, но при этом неcет в cебе потенциально выcокий уровень риcка получения убытков. Iz tog razloga je pre započinjanja trgovine potrebno odlučiti o izboru odgovarajuće investicione strategije, uzimajući u obzir raspoložive resurse.

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