UoM Consumer Confidence at 73.2, U.S Personal Spending Unchanged - 29.6.2012
University of Michigan Consumer Confidence index dropped to 73.2 in June from 74.1 in May, lower than expected by economists. The index fell to its lowest level for 2012 signaling weakness for the US economy, since it is considered to be a leading indicator for growth. Earlier today a release showed that the U.S Personal Income increased by 0.2 per cent in May, by the same percentage as in the previous month, and the Personal Spending Index remained unchanged in May following a 0.3 per cent increase in April. The consumer spending growth in the U.S stalled last month and fell to 0, which is the lowest since June 2011, signaling that demand is decreasing. University of Michigan Consumer Confidence weaker data also show that demand is hurt mainly due to the labor market which is unable to continue improvement and a modest increase in personal wages.