Americans Optimistic About Local Business Conditions

American consumers have a slightly more positive outlook on the current national and local economies, according to a new report released by Citibank.

The survey, conducted by Hart Research Associates, found 63 percent of the public are optimistic that local business conditions will improve over the next 12 months. This represents an 11 point increase since September 2010. Still, most people (76 percent) rate current conditions as fair or poor, while just 24 percent saying current conditions are good or excellent — a 3 point increase in positive assessments since September 2010.

The increase in optimism  is in a number of areas including:

*Personal financial situations: 70 percent are somewhat or very optimistic that their own financial situations will improve this year, up 6 points, while 27 percent are somewhat or very pessimistic their financial situations will improve, a decline of four points.

*Consumer Demand: The percentage of Americans who believe it is a good or excellent time to make a major purchase, such as furniture, an automobile or a television, increased four points to 36 percent. A 62 percent majority believe is it only a fair or poor time to make a major purchase. This is four points less negative than in September 2010.

While nearly a third (33 percent) expect 2011 will be “financially better,” 52 percent expect the year will be “financially the same” as 2010 and 14 percent expect it to be worse.

*Employment opportunities: Just 16 percent rate employment opportunities as “excellent” or “good,” an increase of 2 points. Although the most negative assessments, “poor,” have declined 6 points to 45 percent, another 37 percent rate employment opportunities “only fair”, which is a 4 point increase.

*The survey finds a 59% majority believes the economy still has a ways to go to hit bottom, a decline of five points, while 38 percent believe the economy has pretty much hit bottom, an increase of 7 points.

“For the first time in a year, the survey has revealed clear signs that consumers are starting to see light on the horizon,,” said Michelle Peluso, Chief Global Consumer Marketing and Internet Officer, Citi.

“While Americans are positive about their own future, they continue to have concerns about the broader economy. The downturn’s impact on priorities and behavior has been profound and appears to be more permanent than in previous recessions that were shorter and not as deep.”