Economic sentiment increased over the past two weeks. The HPS-CivicScience Economic Sentiment Index (ESI) rose 0.9 points to 33.9, largely driven by an increase in confidence in finding a new job.
All five of the ESI’s indicators rose over the past two weeks. Confidence in finding a new job rose the most—increasing 2.3 points to 45.3.
- Confidence in making a major purchase rose 0.8 points to 19.8.
- Confidence in buying a new home rose 0.4 points to 21.0.
- Confidence in personal finances rose 0.3 points to 48.9.
- Confidence in the overall U.S. economy rose 0.2 points to 34.2.
The U.S. economy shrank less than initially estimated during the second quarter according to updated data released by the U.S. Bureau of Economic Analysis. U.S. GDP shrank at an annualized rate of 0.6%, bolstered by upward revisions to consumer spending and private inventory investments. Despite this marking the second consecutive quarter of contraction, many economists do not believe the U.S. is in a recession, pointing to the strong labor market and increased consumer spending.