Consumers Happy; Inflation No Threat

U.S. consumer confidence is at record levels, no surprise given the economy’s performance over the past six years. Still, consumer confidence is mostly a look in the rearview mirror, analysts say, and there’s no sign a growth spurt fueled by retail spending is at hand.

“High consumer confidence today doesn’t lead me to believe we’re going to see an inflationary surge in the economy,” said Brian Wesbury, chief economist at Griffin, Kubik, Stephens and Thompson in Chicago. “Solid steady growth with low inflation is enough to make consumers very confident about the present and the future.”