With unemployment falling, and most gauges of consumer confidence having ticked up recently, it is not unusual that the Gallup economic confidence level would reach a four year high. This runs back to January 2008, when most Americans were not aware that the most vicious recession in modern US history had begun.
U.S. economic confidence improved to -17 in the week ending March 25 from -21 the prior week. Economic confidence is now by one point at the highest weekly level Gallup has recorded since it started Daily tracking of confidence in January 2008.
If confidence drive more confidence, an improvement in consumer attitudes should help retail activity, and thus much of the overall economy. Hopefully, this causes jobs additions as productivity reaches a breaking point at firms which begin to expand with their sales.
The only immediate threat the the Gallup trend is gas prices, which are close $4 nationwide for a gallon of regular. Many experts believe the prices is near a tipping point were it may significantly undermine consumer activity.