Date: 07/17/2006

Consumer confidence in Silicon Valley rebounded slightly last quarter, fueled by positive feelings about the current economic picture. However, in California, as across the country, consumer confidence fell for the second quarter in a row after a bubble of optimism in January was burst by renewed higher gas prices, fears of inflation and rising interest rates, says the latest survey by the Survey and Policy Research Institute at San Jos?? State. The Index of Consumer Sentiment for California now stands at 87.9, down three index points from 91.0 in March, and more than 10 points from the record high of 99.2 recorded in January of this year, a decline consistent with the nationwide trend. Read more.