United States Consumer Confidence
The Conference Board Consumer Confidence Index Monthly Update
The latest Conference Board Consumer Confidence Index was released on Tuesday, July 25 based on data collected through July 14. Consumer confidence rose to the second highest level in 16 years exceeding expectations from some economists. Americans are feeling great about the current state of the economy and more hopeful about the future.
The Index now stands at a preliminary 121.1, up 3.8 points from the downward revision of 117.3 in June reflecting improved business conditions. The overall confidence reading of 121.1 was the highest since the confidence index hit 124.9 in March of this year and both readings were the highest since the index stood at 128.6 in December 2000.
“Consumer confidence increased in July following a marginal decline in June,” said Lynn Franco, Director of Economic Indicators at The Conference Board. “Consumers’ assessment of current conditions remained at a 16-year high (July 2001, 151.3) and their expectations for the short-term outlook improved somewhat after cooling last month. Overall, consumers foresee the current economic expansion continuing well into the second half of this year.”
Americans assessment of the labor market improved. Those surveyed stating jobs are “plentiful” rose from 32.0 percent to 34.1 percent while persons claiming jobs are “hard to get decreased slightly from 18.4 percent to 18.0 percent.
The outlook for the labor market also improved. The proportion expecting more jobs in the months ahead was unchanged at 19.2 percent, but those anticipating fewer jobs decreased from 14.6 percent to 13.3 percent.
Consumer confidence for August 2017 will be released on Tuesday, August 29, 2017.
Consumer confidence is a key measure of consumer’s attitudes. The survey, a closely followed barometer of consumer attitudes, measures confidence toward business conditions, short-term outlook, personal finances and jobs. In other words it measures the degree of optimism that consumers feel about the overall state of the economy and their personal financial situation. If consumer confidence is high, consumers are more likely to make purchases. Vice-versa, if consumer confidence is low, consumers are more likely to save and spend less.