Consumer confidence

Consumer confidence is a key economic indicator that measures how optimistic or pessimistic consumers are regarding their expected financial situation. It reflects the level of trust consumers have in the overall economic conditions, which influences their spending and saving behavior. High consumer confidence typically signals robust economic growth as people are more likely to spend money on goods and services, boosting business revenues and job creation. Conversely, low consumer confidence can indicate economic challenges, leading consumers to save more and spend less, which can slow down economic activity. Understanding consumer confidence helps businesses, policymakers, and investors to make informed decisions and forecasts about future economic trends.