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Tuesday, October 7, 2014

Gallup's Economic Confidence Index was steady in September

Gallup's Economic Confidence Index (ECI) was steady in September at minus 15 for the month, similar to the minus 16 it averaged in August. September's reading is also consistent with monthly scores throughout 2014, which have ranged from minus 14 to minus 17. Though the index remains in negative territory, it has been unusually stable this year, compared with previous years. This year's index scores have generally exceeded those seen monthly since 2008, with the exception of a rise to the low single digits in mid-2013.

The economic outlook dimension has varied more, ranging from minus 13 to minus 19 this year though this range has still been much narrower than in previous years. In September, 39 percent of Americans said the economy is getting better, while 55 percent said it is getting worse. This resulted in an economic outlook score of minus 16 -- the best outlook score since May, when it was minus 14.

With just a few exceptions, Americans with annual household incomes of $90,000 or more have consistently had higher confidence in the economy than those in households with lower annual incomes. Upper-income Americans had an index score of minus 6 in September, down four points from August. Lower- and middle-income Americans, meanwhile, averaged minus 18 -- the same as in August. These two income groups make up the large majority of Americans, and their confidence has varied less in 2014, ranging from minus 16 to minus 19.

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