Consumer Confidence Growing, Providing Hope for Markets

In recent weeks, consumer confidence has surged to all-time highs, providing a gateway for a more bullish future, and thus the overall prosperity of the stock market.

Economic growth has rose over the past few months. After a long period of stagnation in late 2021 and most of 2022, GDP growth has stabilized to more or less 3%, highlighting a strong economy. Also, a September economic report showed consumer spending grew by 0.5%. Keep in mind that almost two thirds of the nation's GDP relies on consumer spending (consumption-based economy).

Even better for companies, credit card debt is surging to all-time highs. This highlights that while consumers are paying the price of their bills, companies are making reaps of wealth as people are paying lots for consumer products, for both necessities and commodities.

However, interest rates decreasing has aided consumers pay off their credit card debt. Now, it is easier than ever for even the least wealthy of individuals to participate in the American consumption economy.