Consumer confidence was higher in May, according to the Conference Board. The Consumer Confidence Index rose from 81.7 in April to 83.0 in May. This was just shy of March’s 83.9 reading, which was the highest point since January 2008. Perceptions about current (up from 78.5 to 80.4) and future (up from 83.9 to 84.8) conditions were both higher for the month.
Indeed, views about labor and income growth improved. The percentage of survey respondents saying that jobs were “plentiful” increased from 13.0 percent to 14.1 percent, and those expecting income to rise increased from 16.8 percent to 18.3 percent. Still, over 32 percent say that jobs were “hard to get,” suggesting continuing anxieties on the hiring front.
Buying intentions were mixed. More consumers plan to purchase a car (up from 10.6 percent to 11.3 percent), but fewer anticipate buying a home (down from 5.6 percent to 4.9 percent) or appliance (down from 45.9 percent to 45.1 percent).
Chad Moutray is the chief economist, National Association of Manufacturers.
