Episode

Consumer Sentiment and the Stock Market

Podcast
Notes on the Week Ahead
Published
Jul 6, 2026
Duration seconds
721
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not_requested
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https://notesontheweekahead.podbean.com/e/consumer-sentiment-and-the-stock-market/
Audio
https://mcdn.podbean.com/mf/web/g4sai5yww3dj76wv/audio-0706_v1.mp3
JSON
/v1/public/podcasts/notes-on-the-week-ahead-645171/episodes/consumer-sentiment-and-the-stock-market
Markdown
/podcast/notes-on-the-week-ahead-645171/consumer-sentiment-and-the-stock-market.md

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Summary

Despite very average economic performance, consumer sentiment remains at extraordinarily low levels. While there are many interesting aspects to this phenomenon, one is of particular relevance to investors. As we show on page 32 of the Guide to the Markets, peaks and troughs in consumer sentiment have, for many years, been powerful contra-indicators of stock market performance over the subsequent 12 months. However, does this relationship still hold, if the reason for weak sentiment is beyond the realm of a rational assessment of broad economic conditions?