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(snip)"US Consumer Sentiment Dips to Weakest Level Since July
Published: Friday, 15 Oct 2010 | 10:03 AM ET
U.S. consumer sentiment unexpectedly dipped in early October to its weakest level since July, with buying plans on the decline, a survey released Friday showed.
Also, consumers' assessments of government economic policies fell to the lowest level since U.S. President Barack Obama took office, it showed.
The Thomson Reuters/University of Michigan's preliminary October reading on the overall index on consumer sentiment came in at 67.9, down from 68.2 in September and below the 69.0 median forecast among economists polled by Reuters.
The survey's barometer of current economic conditions was at the lowest level since November 2009. The index was at 73 in early October, compared with 79.6 in September and 79.8 forecast by analysts.
Consumer spending typically accounts for about two-thirds of U.S. economic activity and is considered critical to the recovery. It's especially watched in the months ahead of the U.S. holidays, a key period for retailers.
"Personal financial expectations were near their all-time low, and the steep decline in buying plans was related to uncertainty about consumers' future income prospects," the survey's director Richard Curtin said in a statement. "(snip)
I don't want to keep 'beating a dead horse', but when middle class consumers decide to cut their spending in anticipation of declining future ( after tax ) incomes, they cut 'luxury' spending first. And where dancers are concerned, lap dances clearly fall into the 'luxury' category !
However, I should point out that this survey applies to 'middle class' American consumers. In contrast, the recent run-up in US stock markets / bank profits etc. ( which stem from US gov't money printing policy btw ) have increased the 'wealth' of rich Americans thus making them less worried about spending. So if you work in an upscale big city club, odds are that you won't see the same sort of customer spending decline that dancers working in suburban middle class clubs will.



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