US CB Consumer Confidence Index Beats Expectations

The US CB Consumer Confidence Index rose to 110.7 in December, indicating a significant improvement in consumer sentiment.

The report also revealed that the Present Situation Index rose to 148.5, and the Consumer Expectations Index advanced to 85.6. The one-year consumer inflation rate expectation edged lower to 5.6%.

The US Dollar Index settled near 102.25 after the release of the report, with the significant improvement in consumers’ mood signaling that the US will likely avoid a recession.

However, Treasury yields are moving lower, which is bearish for the US dollar. Gold pulled back towards the $2035 level, while falling Treasury yields are bullish for gold markets. Traders are waiting for stronger catalysts that could push gold above the $2050 level.

The SP500 Index attempted to settle above the 4780 level as traders reacted to the report. The general market mood remains extremely bullish, and traders are waiting for new highs ahead of Christmas.