New York – The Deloitte Consumer Spending Index, which tracks consumer cash flow as an indicator of future consumer spending, slightly dipped in August.
The Index, which comprises the four components of tax burden, initial unemployment claims, real wages and real home prices, fell to 4.0 this month from 4.5 last month. The tax rate is up 6.4% from last year, and is now at 11.8%. Unemployment claims moved down 7.8% from the same period last year to 342,000 in the most recent month, while hourly real wages are down slightly from the previous month, but up 0.2% from last year. Real new home prices climbed 7.9% from this time last year to reach approximately $110,000.
"Consumers are seeing positive signals from the economy which may buoy confidence heading into the holiday season this fall," said Alison Paul, vice chairman, Deloitte LLP and retail & distribution sector leader. "Retailers that merge consumer data from their e-commerce and in-store businesses to gain a more holistic view of their shoppers will be strategically positioned to capitalize on the upcoming holiday season. They will also be better prepared to more appropriately target consumers — whether in-store or online — with the right marketing promotions to drive traffic and conversion."