Consumer Confidence Lower, Investor Confidence Higher

The Conference Board and State Street Global Markets both released confidence surveys today, with one falling and the other rising. The Conference Board’s Consumer Confidence Index fell -2.4 points in June, from 64.4 in May to 62.0. At the same time, State Street’s global Investor Confidence index rose 7 points, from May’s revised reading of 86.5 to 93.5.

The Conference Board noted:

Consumers were somewhat more positive about current conditions, but slightly more pessimistic about the short-term outlook. Income expectations, which had improved last month, declined in June. If this trend continues, spending may be restrained in the short-term.

A mixed bag at best that is pretty much inline with other recent surveys.

On the investor side, State Street noted:

The appetite for global equities is strongest among European institutional investors, reflected in the fact that the European [Investor Confidence Index] is 2.5 points above the neutral level of 100. We can also see this in the sectoral decomposition of flows, which shows some rotation out of safe havens and into more risk-sensitive sectors. To some extent, the buying of US, UK and Asian equities by European institutions may say more about their euro-currency concerns than it does about high expected returns for those markets.

Nothing new here either, just more confirmation that Europe is still bleeding.

Paul Ausick