Consumer confidence fell to its lowest point since May 2013 on Tuesday, due to looming fears over the job market and economic growth.
Inside the Report
The report noted that the confidence index has fallen to 86.0 – the lowest point since May 2014 when the index was at 82.0.
This decline comes after impressive August data, which was reported at 93.4 – the highest point since before the Great Recession.
The decline was primarily due to fears regarding the job market, future earnings potential as well as weak economic growth.
This data comes after the consumer sentiment survey, which was published last week. The survey showed the most optimistic outlook since May 2013.
Mutual Funds to Watch
Reports with a direct relation to consumer spending can have an impact on consumer-focused stocks (such as retail) as well as the mutual funds that hold a high amount of exposure to these companies.
Below are mutual funds that focus primarily on consumer investments.
| Ticker | Mutual Fund |
|---|---|
| FSRPX | Fidelity® Select Retailing Portfolio |
| RYLSX | Rydex Series Trust Leisure Fund Class A |
| FCNAX | Fidelity Advisor® Consumer Discretionary Fund Class A |
| FSHOX | Fidelity® Select Construction & Housing Portfolio |
The Bottom Line
Mutual fund investors that own consumer-focused mutual funds should pay close attention to economic reports that focus on the state of consumer spending.
These reports are a good indicator for consumer goods focused companies.