US consumer confidence holds steady, but future outlook slips

26th Mar 2024 14:56

(Sharecast News) - Consumer confidence in the US held broadly steady in March, as improving perceptions about the current economic climate were offset by rising anxiety about future conditions.

The closely followed Conference Board Consumer Confidence Index came in at 104.7 this month, more or less unchanged from a downwardly revised 104.8 in February. This was below the consensus forecast of 107.

The Present Situation Index, which monitors people's outlook on current business and labour-market conditions, rose to 151.0 from 147.6, but the Expectations Index, which covers the short-term outlook for the same attributes, fell to 73.8 from 76.3.

According to the Conference Board, an Expectations Index reading below 80 "often signals a forthcoming recession".

The data showed that consumers who earn $50,000 to $99,999 reported lower confidence in March, while confidence improved slightly in all other income groups.

"Consumers remained concerned with elevated price levels, which predominated write-in responses. March's write-in responses showed an uptick in concerns about food and gas prices, but in general complaints about gas prices have been trending downward," said Dana Peterson, chief economist at The Conference Board.