Coming from business magnate and investor legend, Warren Buffet, “if we’re in the sixth inning, we have our sluggers coming to bat right now.” In terms of our current economy, Buffet has high hopes for the future, especially in the eyes of the consumer and consumer sentiment.

Consumer sentiment is defined as an economic indicator related to the consumers own perception of their financial/economic situation and the health of the nation’s economy. This is a key indicator as the consumer controls the cash flow.

WHY ARE WE IN SUCH GREAT SHAPE?

Whether the consumer is spending money or not determines the success of the economy. In the current market consumers are more likely to spend money on various goods than they would in the past years. Marketing and product placement techniques are to thank for recent spending increases mainly from social media advertisements.

Combine the increased spending and the record breaking employment rates (above); our economy is poised to grow for decades to come.  The job market is currently in favor or workers so that wage negotiations can provide higher wages and therefore more spending.

WHAT ARE WE SWINGING FOR?

With global economics becoming a greater and greater influence on our own economy, we are swinging to compete with countries such as China. China’s economy has one of the highest GDP per capita growth rates in the world. With China’s economic power growing significantly faster than us, we need to make the right choices so that we can compete for generations to come.

https://www.cnbc.com/2018/06/07/buffett-says-economy-is-feeling-strong.html