Discover’s U.S. Spending Monitor, a monthly index that reflects consumer spending intentions and capacity, fell 4.3 points in December to 91.1, an indication that consumers plan to spend less since the end of the holiday season.
Before the holidays, 42 percent of American consumers indicated that they spent more in December than the month before, a six percent increase from November. Only 26 percent of consumers plan to spend more in January, a 13 percent decrease, while 31 percent of consumers indicated that they would spend less, a 14 percent increase from November.
Consumers also indicated that they plan to spend less on household expenses, household improvements, major personal purchases and discretionary personal expenses.
Additionally, consumer outlook on the economy and personal finances declined. The percentage of consumers who expect the economy to improve fell by three percent, and consumers who rated personal finances as good or excellent fell by two percent.
Consumers making more than $75,000 indicated increased confidence in the economy, while consumers making less than $75,000 reported decreased confidence in the economy.
Discover’s Spending Monitor index is based on interviews over 8,200 American adults. The index was launched in 2007, and surveys are conducted by Rasmussen Reports.