CE industry expects spending boosts on improved consumer confidence

ARLINGTON, Va. — Consumers are feeling more positive about the overall economy and are growing more likely to make technology purchase, according to the latest CEA Index from the Consumer Electronics Association.

Consumer sentiment toward technology improved for a second straight month, reaching 89.5 in June. The CEA Index of Consumer Technology Expectations (ICTE) rose nearly two points and is at the highest June reading since the inception of the Index in January 2007. The ICTE, which measures consumer expectations about technology spending, is up more than seven points from this time last year.

“Despite continued global upheaval, gas prices are declining, which is likely relieving some pressure on consumer spending, which in turn is allowing consumers to feel like they can allocate more money to technology,” said Shawn DuBravac, CEA’s chief economist and senior director of research.

Consumer confidence in the overall economy also improved in June. The CEA Index of Consumer Expectations (ICE) climbed to 170.4, an increase of 2.6 points from last month. The ICE, which measures consumer expectations about the broader economy, is up more than ten points from this time last year.

“Sentiment about the economy is up from this time last year,” said DuBravac. “However after several months of declines, a flat equity market and continued volatility in global economies, sentiment will likely remain under pressure.”

The CEA Indexes comprise the ICE and ICTE, both of which are updated on a monthly basis through consumer surveys. New data is released on the fourth Tuesday of each month. CEA has been tracking index data since January 2007.

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- 3:38 AM
Ian Moone says

Who in the world are these guys researching on a monthly basis? Consumer confidence, according to the Conference Board, has now fallen for the last 4 (FOUR) months straight. From a high in February of 71.6 to 62 now reported for June. A reading of 90 is an indication of a healthy economy according to the Conference Board. Consumer are still worried about jobs, housing values, the roller coaster stock market, and the worsening European financial issues. CEA, along with the ICE and ICTE must only be talking to the ONE percent'rs, along with all those Apple products owners who are being overcharged from web sites due to "their profiles"

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