Following the fall in the U.S consumer confidence index during March, this index didn’t move much during April.
According to the latest U.S. consumer confidence survey, the consumer confidence index didn’t move much in April compared with March’s index: The index reached in April 69.2 (1985=100) a slight decline of 0.3 percent points from 69.5 in March. American consumers’ short term outlook in U.S. business conditions has slightly declined according to the survey. On the other hand, the consumers’ assessment of current business and labor conditions has improved in April.
Note, this report was based on a survey conducted up to April 12th. In the past couple of weeks the situation seems to improve in the financial markets, (e.g. the American stock markets indexes rose).
This consumer confidence index may slightly curb the recent rally in the natural gas prices: according to a study, there was a positive significant correlation between the “consumer confidence” news and natural gas prices i.e. this news has a positive linear correlation with natural gas prices. Furthermore, the study also suggested a positive significant coefficient between this news and crude oil prices.
In this case, since the consumer confidence very moderately declined, this means this news might have a moderate adverse effect on energy prices including oil and natural gas prices (at best).
Today when this consumer confidence survey was published, the U.S stock markets mostly rose including the DOW and S&P500. Natural gas prices also rose, while the crude oil was traded up. All in all, there weren’t sharp shifts during yesterday’s trading except for the sharp rise in natural gas prices, which is part of a rally during the past few days.
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