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Two consumer sentiment indexes rose to record highs this month, and jobs remained easy to find, recent reports showed.
That was roughly in line with a median forecast among analysts of minus 7. The tankan's sentiment indexes are derived by subtracting the percentage of respondents who say conditions are poor from those who say they are good.
Sentiment indexes.
First, we introduce the sentiment measures that are used to construct the sentiment indexes.
(2012) use proxies for investor sentiment to construct sentiment indexes that explain future stock returns.
Open image in new window Fig. 1 Sentiment indexes by market over time.
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We look at capital investment; we look at business sentiment indices, including purchasing managers' indices.
Consumer sentiment dipped slightly in April, according to a Reuters/ University of Michiganconsumer sentiment index released on Friday.
The Reuters/ University of Michiganconsumer sentiment index has fallen below the lowest levels of the last two recessions.
The University of Michigan's sentiment index fell to 89.7 from last month's 92.1.
The University of Michigan's consumer sentiment index showed a larger-than-expected drop in confidence.
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