$600 stimulus checks passed by Congress boosted consumer confidence
Consumer sentiment has increased consistently since the passage and signing of the latest coronavirus relief bill, new surveys show.
Driving the news: Morning Consult's Index of Consumer Sentiment rose 1.51 points from the prior week to 87.74.
Watch this space: "The second coronavirus relief package, which President Donald Trump signed into law on Dec. 27, had a more immediate positive impact on consumer confidence than the CARES Act in March 2020, even though the $600 stimulus checks are roughly half the size of what was included in the first aid bill," Morning Consult economist John Leer noted in an email.
- "One reason for the more immediate impact is that the Treasury Department deposited and sent stimulus checks much faster this time because the agency already had the relevant eligibility and delivery information, meaning consumers can see the money in their bank accounts sooner."
Another confidence reading, the Economic Sentiment Index from data provider CivicScience and Hamilton Place Strategies continued its upward trend, rising to 48.3, the third straight positive reading.
Details: Confidence in the job market rose the most of all the survey's individual indicators, increasing by 2.7 points to 41.1, and has risen 6.3 points over the past four readings.