The HPS-CivicScience Economic Sentiment Index (“ESI”) is a “living” index that measures U.S. adults’ expectations for the economy going forward, as well as their feelings about current conditions for major purchases. The primary goal of the Index is to accurately measure movements in overall national economic sentiment and to provide a more sophisticated alternative to existing economic sentiment indices. Unlike other prominent indices that release consumer sentiment estimates infrequently, the HPS-CivicScience Index is updated in real time as responses are collected continuously every hour, every day. Large-scale cross-tabulation of survey responses and consumer attributes enable more granular analyses than are currently possible through prevailing measures.
Excerpt From the Latest Reading:
Consumer confidence remained relatively flat over the past two weeks, falling 0.2 points to 53.6 according to the HPS-CivicScience Economic Sentiment Index (ESI). Confidence in the U.S. labor market continued to climb to new heights, while other categories declined.
Consumer confidence in making a major purchase experienced the largest decrease, falling 1.3 points to reach 52.6, its lowest level since September. Consumer sentiment towards personal finances fell by 0.3 points to reach 65.5 points, which was counterbalanced by a 0.6 point increase in sentiment towards the labor market, which reached another record high of 51.1 points.
Confidence in the U.S. economy also fell 0.5 points to hit a level of 50.0 points, reversing most of the gains made during the previous reading period. Additionally, consumer confidence towards the housing market increased slightly, moving up 0.1 points to 48.7 points.
The U.S. unemployment rate also continued to decline, reaching a 49-year low according to the most recent jobs report. Meanwhile, economic growth has exceeded 3 percent the last two consecutive quarters.
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