ECONOMIC CONFIDENCE RISES SLIGHTLY, BUT CONSUMER SPENDING INTENTIONS DECLINE IN SEPTEMBER
Riverwoods, IL, Oct. 2, 2013- The Discover U.S. Spending Monitor rose just 0.7 points in September to 91.7, as consumer confidence in the economy slightly improved, but consumer spending intentions declined from the prior month. The Monitor is a 6-year-old daily poll tracking economic confidence and spending intentions of nearly 8,200 consumers throughout the month.
Economic Outlook
- Those responding that the economy is getting better increased 2 percentage points to 30 percent this month.
- Consumers making less than $75,000 drove the improved economic outlook.
- Respondents making less than $40,000 rating the economy as getting better increased 1 percentage point to 26 percent. Those making $40,000-$75,000 rating the economy as getting better increased 3 percentage points to 34 percent.
- However, those making more than $75,000 per year rating the economy as getting better declined 3 percentage points to 46 percent.
- Consumers indicating the economy as good or excellent remained at 17 percent in September.
Personal Finances
- Outlook on personal finances slightly declined in September.
- Respondents rating their personal finances as good or excellent declined 1 percentage point to 32 percent.
- The overall perspective on finances getting better in the next month also decreased 1 percentage point to 23 percent.
- Additionally, only 43 percent said they would have money left over after paying their bills, 1-percentage point lower than the prior month and the lowest this number has been in two years.
- Gender also played a role in the financial outlook of consumers.
- Male respondents who rated their personal finances as good or excellent declined 3 percentage points to 33 percent. Women with the same outlook remained at 32 percent.
- Men who anticipate that their personal finances will get better next month also declined 3-points, to 23 percent. Women who said their personal finances will get better next month increased 1 percentage point to 23 percent.
Spending Intentions
- With fewer consumers reporting money left over after paying monthly bills, spending intentions declined across most categories in September. Overall intentions to spend more next month decreased 2 percentage points to 26 percent.
- Intent to spend more next month on household expenses dropped 5 percentage points to 33 percent.
- 10 percent of consumers are looking to spend more on discretionary expenses like going out to dinner or the movies, dropping 1 percentage point from August.
- 14 percent of consumers plan to spend more on a major purchase like a vacation, 1-percentage point lower than the prior month.
- Intent to spend more next month on household improvements stayed the same at 16 percent.
About Discover U.S. Spending Monitor
The Discover U.S. Spending MonitorSM is a monthly index of consumer spending intentions and capacity that is based on interviews with a random sample of 8,200 U.S. adults conducted at a rate of 275 per night. In addition to spending, the survey asks consumers their opinions on the U.S. economy and their personal finances. The Monitor began in May 2007 with a base index of 100. Surveys are conducted by Rasmussen Reports, an independent survey research firm (http://www.rasmussenreports.com).
About Discover
Discover Financial Services (NYSE: DFS) is a direct banking and payment services company with one of the most recognized brands in U.S. financial services. Since its inception in 1986, the company has become one of the largest card issuers in the United States. The company issues the Discover card, America's cash rewards pioneer, and offers home loans, private student loans, personal loans, home equity loans, checking and savings accounts, certificates of deposit and money market accounts through its direct banking business. It operates the Discover Network, with millions of merchant and cash access locations; PULSE, one of the nation's leading ATM/debit networks; and Diners Club International, a global payments network with acceptance in more than 185 countries and territories. For more information, visit www.discover.com/company.
Source: Discover Financial Services
Discover
Matthew Towson, 224-405-5649
matthewtowson@discover.com
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