Oct 12 - The preliminary October reading on consumer sentiment jumps a five-year high of 83.1, according to the twice-monthly Thomson Reuters/University of Michigan survey.
The Daily Digit today is 83.1, the highest reading of consumer sentiment in five years. The surge in the preliminary October reading shocked Wall Street, which was looking for a decline. Thomson Reuters and the University of Michigan, the two institutions that gather and release the data, say the jump was related to consumers feeling better about the economy, in both the long and the short term. That, at least in theory, should translate into increased consumer spending. The rise in sentiment came after other positive economic numbers published recently - a significantly lower unemployment rate and falling jobless claims, and continued signs of a bounce-back in housing. And speaking of a bounce, consumer sentiment at a five-year high could give President Obama's re-election hopes a bounce heading into next month's election. Conway Gittens, Reuters