The Conference Board Consumer Confidence Index Rises for Second Consecutive Month in December

The Conference Board, a non-partisan, not-for-profit think tank founded in 1916, on Wednesday (12-20-23) released its Consumer Confidence Survey® results for December.

• The Consumer Confidence Index® rose to 110.7 (1985=100) in December, up from a downwardly revised November reading of 101.0.
• The Present Situation Index—based on consumers’ assessment of current business and labor market conditions—rose to 148.5 (1985=100) in December, up from November’s reading of 136.5.
• The Expectations Index—based on consumers’ short-term outlook for income, business, and labor market conditions—increased to 85.6 in (1985=100) in December, up from its downwardly revised reading of 77.4 in November. The Conference Board notes that this sharp increase brings expectations back to the levels of optimism last seen in July.

Commenting on the results of the December Consumer Confidence Survey®, the Conference Board’s chief economist, Dana Peterson, said:

“December’s increase in consumer confidence reflected more positive ratings of current business conditions, job availability, as well as less pessimistic views of business, labor market, and personal income prospects over the next six months. While December’s renewed optimism was seen across all ages and household income levels, the gains were largest among householders aged 35–54 and households with income levels of $125,000 and above. December’s write-in response revealed the top issue affecting consumers remains rising prices in general, while politics, interest rates, and global conflicts all saw downticks as top concerns. Consumers’ Perceived Likelihood of a US Recession over the Next 12 Months abated in December to the lowest level seen this year—though two-thirds still perceive a downturn is possible in 2024.”