Expectations Index

If you just got married, got a dog, or bought a high-maintenance car, you probably have expectations of what you’re getting into.

There’s an official measure for this in regards to buying stuff...called the Expectations Index.

The Expectations Index is part of the Consumer Confidence Index, which is published monthly. It provides updates on how everyone is perceiving the economic outlook of the next six months. When people feel things are good (maybe they have a stable job and income), they're more likely to spend, keeping the economy’s happy face on.

When people feel things are turning for the worse (maybe unemployment is up, and layoffs are afoot in the market), they're more likely to save up, which could make the economy take a nosedive.

Expectations are kind of a big deal. Hopefully you have great ones.