The Conference Board’s consumer confidence index rose again in December, following an upward revision in November. The index now stands at 115.8 (1985 = 100), compared to 111.9 (an upward revision) in November. The current situation index, based on consumers’ assessment of current business and labor market conditions, was relatively stable at 144.1, down from 144.4 last month. The expectations index, based on consumers’ short-term outlook on income, business and labor market conditions, fell from 90.2 to 96.9.
âConsumer confidence improved further in December, following a very modest gain in November,â said Lynn Franco, senior director of economic indicators at the Conference Board. âThe current situation index has declined slightly but remains very high, suggesting that the economy has maintained momentum in the last month of 2021. Expectations for the near-term growth outlook have improved, opening up the way for continued growth in early 2022. The proportion of consumers planning to purchase homes, automobiles, major appliances, and vacations over the next six months has all increased.
âMeanwhile, concerns about inflation have subsided after peaking in 13 years last month, as have concerns about COVID-19, despite reports of continued increases in prices and prices. emergence of the Omicron variant. Looking to 2022, consumer confidence and spending will continue to face the headwinds of rising prices and an expected winter surge from the pandemic. “
Consumers’ assessment of the current economic situation was more favorable in December.
- 19.9% ââof consumers said trading conditions were “good”, compared to 17.9%.
- 26.8% of consumers said trading conditions were “bad”, compared to 27.3%.
The assessment of the labor market by consumers was moderately less favorable.
- 55.1% of consumers said jobs were “plentiful” compared to 55.5%; still a historically strong reading.
- 12.5% ââof consumers said jobs were “hard to get”, compared to 10.8%.
Expectations in six months
Consumer optimism about the outlook for near-term business conditions increased in December.
- 26.7% of consumers expect better trading conditions, compared to 25.6%.
- 17.9% expect business conditions to deteriorate, compared with 19.6%.
Consumers were also more optimistic about the near-term outlook for the labor market.
- 25.1% of consumers expect more jobs to become available in the coming months, compared to 22.8%.
- 14.8% expect fewer jobs, compared to 19.0%.
Consumers were slightly less positive about their near-term financial outlook.
- 18.0% of consumers expect their income to increase, compared to 18.9%.
- 11.5% expect their income to decline, down slightly from 11.7%.
The monthly online sample-based Consumer ConfidenceÂ® Survey is conducted for the Conference Board by Toluna, a technology company that provides real-time consumer information and market research through its innovative technology. , its expertise and its panel of more than 36 million consumers. The deadline for preliminary results was December 16.