Consumer Confidence?

I am at a loss as to where they get these figures from. Recently posted

CB Consumer Confidence

90.9

(Expected85.3), (Previous

86.4

)

And yet ZeroHedge notes

http://www.zerohedge.com/news/2014-07-29/behold-new-normal-definition-confidence

While headlines are flashing red about how exuberant the consumer is, there appears to be some 'new normal' oddness under the covers. Projecting this positive news into the future (as every talking-head is) does not add up with the fact that "plans to buy a car" and "plans to buy a major appliance" both tumbled in July. But the biggest problem for the 'recovery', "plans to buy a home" collapsed to its lowest since Feb 2013... welcome to the new normal definition of confidence.

 

And a Shocking 77 Million Americans Face Debt Collectors!

http://www.zerohedge.com/news/2014-...ing-77-million-americans-face-debt-collectors

 

The irrationality of human beings as played out in the market. Consumer confidence, I believe is a figure that is gleaned from the amount that consumers are spending versus the amount consumers are saving. Ultimately, from that explanation, it would be easy to skew those figures if savings were low, even if consumer spending was low. Ultimately, this number is bogus IMO.

 

I believe it is all faked up, in order to please the discouraged consumers, to give them fake hope.

 

Consumer confidence can't be high because the economy sucks and we can't access credit, who has money to spend really?

 

I think it's just a question of motivating people, convincing people that the economy is recovering is the first step to actually recover the economy!

 

How can we convince people of that if the state doesn't give a line of credit? How can we buy?

 

If you create a false sense of optimism it creates a stock bubble. Maybe this is what Warren Buffett was saying when he said another crash is imminent, because our government's own policies are creating a bubble; and when people don't buy in to the bubble they look for new and innovative ways to create it.

Ultimately, the only real indicator of anything (that can't be swayed by whim) is profit and loss...the bottom line. Give me that certainty any day.

 

That's what happened in the past, a lot of bubbles were created and than they popped, so better pessimism than illusion I say.

 

Our government gives us reason for pessimism, but optimism can spark innovation. Though we want to be realistic, we need optimism or no new businesses will get started.