Key Takeaways
\nConsumer confidence, as measured by the Conference Board, rose in July.The reading comes after the index declined in June as worries over the labor market persisted.Consumer surveys have improved recently after falling in the wake of President Donald Trump\u2019s tariffs announcement in April.<\/p>\n
Consumer confidence improved more than expected in July as inflation worries receded slightly.\n<\/p>\n
The Conference Board\u2019s Consumer Confidence Index<\/a> came in at 97.2, an improvement of two points over June\u2019s revised reading.\n<\/p>\n The report showed that consumers\u2019 short-term outlook for income, business and market conditions rose by 4.5 points, while their outlook for current business conditions declined slightly. Consumers\u2019 expectations for inflation over the year ahead dipped slightly to 5.8%, down from the peak of 7% in April.\u00a0\n<\/p>\n Economists surveyed by Dow Jones Newswires and The Wall Street Journal projected that the index would rise to 95.4.\n<\/p>\n \u201cConsumer confidence has stabilized since May, rebounding from April\u2019s plunge, but remains below last year\u2019s heady levels,\u201d said Stephanie Guichard, senior economist for global indicators at The Conference Board. \u201cThey were a tad more positive about current business conditions in July than in June. However, their appraisal of current job availability weakened for the seventh consecutive month, reaching its lowest level since March 2021.\u201d\n<\/p>\n Consumer surveys declined in the months following Trump\u2019s early tariff announcements, but those worries have subsided<\/a> as the president has announced a string of deals with trading partners.\n<\/p>\n Consumers Have Increasing Worries Over Labor Market, Higher Interest Rates\u00a0 <\/p>\n While consumers have brightened their outlook on the economy, their confidence is still below the levels seen in 2024, as the expectation index remained below the recessionary threshold, the widely followed survey showed.\u00a0\n<\/p>\n