Economic security

 

IBD/TIPP Poll Shows 22.7% Increase in Economic Optimism; Index Returns to Positive Territory for the First Time Since March

The IBD/TIPP Economic Optimism Index, a leading national poll on consumer confidence, revealed dramatic increases in positive sentiment this month, rising from 45.0 to 55.2 (22.7%) overall. This brings the index back into positive territory for the first time in seven months. For the IBD/TIPP indexes, a reading below 50.0 indicates pessimism.

“We’ve seen some interesting swings in consumer sentiment throughout the pandemic, but October revealed the biggest gains by far,” said Ed Carson, IBD's news editor.

The IBD/TIPP Economic Optimism Index has established a strong track record of foreshadowing the confidence indicators issued later each month by the University of Michigan and The Conference Board. IBD/TIPP surveyed 1,300 adults, including 1,221 registered voters, from September 30 to October 1. Due to COVID-19, the poll was conducted online using TechnoMetrica’s network of online panels to provide the sample.

In addition to the Economic Optimism Index, IBD/TIPP surveyed respondents on key political issues for the separate Presidential Leadership Index and National Outlook Index as well as the Financial Related Stress Index.

This month, the Presidential Leadership Index rose by 21.8%, going from 38.6 in September to 47.0 in October. All three components on the index increased by more than 20%, with the Favorability component climbing the most at 23.3% after last month’s 10.4% decline. In October, the component moved from 38.6 to 47.6, which is its highest mark since April.