Conference Board News Release (08/28/12)
The Conference Board Consumer Confidence Index, which had improved in July, declined in August. The index now stands at 60.6, down from 65.4 in July. The confidence index is now at its lowest level since November 2011. The expectations index decreased to 70.5 from 78.4. The present situation index, however, was virtually unchanged, at 45.8 versus 45.9 a month ago.
“Consumers were more apprehensive about business and employment prospects, but more optimistic about their financial prospects despite rising inflation expectations,” says Lynn Franco, director of economic indicators at the Conference Board. Consumers’ appraisal of the labor market varied in August. Those stating jobs are “plentiful” declined to 7.0% from 7.8%, while those claiming jobs are “hard to get” edged down to 40.7% from 41.0%. Consumers expecting more jobs in the months ahead decreased to 15.4% from 17.6%, while those anticipating fewer jobs rose to 23.4% from 20.6%.