US consumer confidence breaks three-month stretch of declines in May

28th May 2024 15:13

(Sharecast News) - Confidence around current labour market conditions buoyed US consumer sentiment in May, the results of a closely followed survey revealed.

The Conference Board's consumer confidence index increased from a reading of 97.5 for April to 102.0 in May.

Dana M. Peterson, chief economist at The Conference Board, said that opinions of the current labour market improved and that fewer Americans now expected future business, the supply of jobs or incomes to worsen.

Hence, the expectations subindex improved from 68.8 to 74.6, but it remained below the 80 point mark, the level that usually signalled that a recession lay ahead.

A separate subindex tracking views of the present situation rose from 140.6 to 143.1.

Prices, particularly those for food and groceries, were having the biggest impact on consumers' views of the economy, she said, while concerns of a possible resurfaced, as opposed to the 35% of company bosses who as of April were expecting a recession.