Americans’ ratings of the national economy have dipped after hitting a pandemic high two weeks ago, though stable assessments of personal finances and the buying climate kept the overall Consumer Comfort Index on an even keel.
In a fourth week without significant movement, the CCI stands at 57.7 on its 0-100 scale, near its pandemic best, 58.2 two weeks ago. It’s advanced since hitting a nearly six-year low of 34.7 last May, though remains 5.3 points short of its level before the onset of the coronavirus pandemic.
That said, the CCI gauge based on ratings of the national economy is down 2.0 points from its pandemic high two weeks ago, to 52.8. That’s driven primarily by Republicans, down 6.5 points since late August to 46.5, compared with essentially no change among independents or Democrats, steady at 47.4 and 64.3, respectively.
Offsetting that decline, assessments of the buying climate are at a two-month high of 49.9, about even with their pandemic peak, 50.7 in mid-June. The subindex asks Americans to consider both their personal finances and current prices in assessing whether it’s a good time to buy things they want and need. It’s held high and steady since late August after recovering from a midsummer dip.
The latest CPI data say inflation eased in August, particularly in comparison with its June and July levels, though still near its 13-year high, up 5.3 percent from a year earlier. Retail sales in August rose 0.7 percent over the previous month, partially rebounding after a sharp 1.8 percent decline in July.
The CCI’s remaining gauge, based on Americans’ ratings of their personal finances, similarly extends a month-long plateau, holding within a narrow 0.7-point band for the fifth consecutive week. At 70.4, the subindex is exceptionally strong, near its 18-month peak of 71.0 three weeks ago and just off its all-time high in 35 years of ongoing weekly data, 71.2, in January 2020.