US consumder confidence drops while GDP beats estimates

Markets were quiet on Wednesday after investors digested revised third quarter US gross domestic product (GDP) data released on Tuesday. The report showed the economy grew more than previously thought as GDP expanded at a seasonally adjusted annual rate of 3.9 percent in the third quarter of 2014 over the previous quarter.

The dollar rose after the GDP data but the rally soon faded after another US data release from the Conference Board. The Consumer Confidence Index, which had rebounded in October, declined in November to 88.7 from 94.1 in October. Consumer confidence reached a five-month low as Americans became less upbeat about the US economy and labor market. The decline this month interrupts a steady pickup in sentiment since the middle of the year and shows attitudes about the economy would benefit from bigger wage gains. While confidence slipped, buying plans picked up, indicating spending will be sustained on the heels of stronger job growth and lower fuel costs.

The post US consumder confidence drops while GDP beats estimates appeared first on Forex Circles.

Source:: US consumder confidence drops while GDP beats estimates