U.S. consumer confidence increased in October as assessments of current conditions and expectations improved, the Conference Board reported October 27.
Its Consumer Confidence Index rose 7.5 points to 91.7, from a revised 84.2 in September. The Present Situation Index increased 8.6 points to 120.4, while the Expectations Index gained 6.9 points to 72.6.
The expectations improvement only partly reversed three consecutive monthly declines. The organization said the broader confidence trend remained downward despite October’s recovery.
Respondents viewed current employment conditions somewhat more favorably. The gap between consumers saying jobs were plentiful and those saying jobs were hard to get widened to 5.3 percentage points.
Average expectations for inflation over the following twelve months declined but remained elevated at 5.8%. Consumers also reported plans for less spending on services and durable goods over the next six months.
The preliminary online survey covered October 1–21. It measures respondents’ attitudes and intentions, which can differ from later purchases or official measures of employment, inflation and economic growth.
Sources: The Conference Board, October 27 Consumer Confidence Survey: https://www.conference-board.org/topics/consumer-confidence/