The Conference Board US Consumer Confidence Index Trends Lower in August

On Tuesday, The Conference Board, a non-partisan, not-for-profit think tank founded in 1916, released the results of its Consumer Confidence Survey for August.

• The Consumer Confidence Index decreased 0.8 points in August, falling to a reading of 89.4 (1985=100) from a downwardly revised 90.2 in July.
• The Present Situation Index—based on consumers’ assessment of current business and labor market conditions—rose 6.8 points to a reading of 121.2. The increase follows three consecutive declines.
• The Expectations Index—based on consumers’ short-term outlook for income, business, and labor market conditions—fell 5.8 points to a reading of 68.2.

The survey period for preliminary results was August 3–16.

In a statement accompanying the report, The Conference Board Chief Economist Dana Peterson said:

“Consumer confidence moderated slightly in August for a second consecutive month. The Expectations Index slipped further into negative territory, which was offset by a moderate rise in the Present Situation Index after declining in the past three months. Consumer appraisals of current business conditions were mildly positive. Perceptions of the current labor market improved, reversing three months of moderate decline. Looking ahead, consumers were more pessimistic about business conditions and the labor market over the next six months. Expectations for household incomes moderated but remained optimistic overall.”