The Index of Consumer Sentiment (ICS) for the Fort Smith region was lower for the
third quarter ending Sept. 30, according to the preliminary report released Oct. 8
by the Center for Business Research and Economic Development at the University of
Arkansas - Fort Smith.
The Fort Smith MSA consumer sentiment index was 59.2, down 8.2 percent from the second quarter result of 64.5.
The results were consistent with national results reported by the University of Michigan (UM) for the same period. The Michigan study reported a 77.5 in September, 7.8 percent lower than the June reading.
Dr. Kermit Kuehn of Fort Smith, center director, said, 鈥淪entiment moved lower this quarter, driven to a large extent by less positive news on the national economy and the political squabbles going on in Washington in recent weeks.鈥�
Arvest Bank president Craig Rivaldo said the report was somewhat disappointing.
鈥淧ositive momentum is hard to attain in the first place,鈥� said Rivaldo. 鈥淏ut it鈥檚 even more difficult when national issues create widespread uncertainty in our local economy.鈥�
The report also outlined results for two sub-indices, both lower as well. The Index for Current Conditions (ICC), a measure of consumer attitudes about their current economic situations, declined 6.6 percent to 66.9. The Index for Consumer Expectations (ICE), which measures consumer feelings about future economic conditions, was down 9.6 percent from last quarter, recording a 54.2.
Index scores below 100 reflect less optimism about the economy than scores above 100.
Kuehn noted that consumer attitudes toward the regional jobs market was generally negative in this report, particularly in terms of availability of jobs going forward.
He said that a detailed analysis of the entire 17-item survey distributed to 3,250 regional households will be published in the Fort Smith Regional Economic Outlook Report, a quarterly report sponsored by Arvest Bank, which is expected to be released the second week of December.
For more information on the center, go to , call the center at 479-788-7938 or email CBRED@uafs.edu.