FXstreet.com (Barcelona) - Consumer sentiment has declined against in December, according to the Reuters University of Michigan consumer survey, although the declining pace has come near to a stand still, nevertheless, consumer sentiment stands now at two year low.
The index of consumer sentiment has fallen to 75.5 in December from 76.1 in November, a slight decline on the month but a sharply lower level than the 91.7 posted in December 2006. The index of consumer expectations have fallen to 65.6 in December from 66.2 in November, while they stood at 81.2 in December last year.
The current economic conditions index has eased to 91.0 in the December 2007 survey, from 91.5 in November, and from 108.1 in December 2006.
Consumers have expressed their concern on increasing costs of fuel, food and utilities, together with a diminishing financial security caused by falling home prices, although the data does not yet signal a recession it does point out to a period of consumer spending growth coming to a halt.