Consumer confidence dropped in June as more Americans grew disappointed with the current state of the economy and the job market, The Conference Board reported today.
The Consumer Confidence Index fell to 103.9 this month from 108.5 in May, and the outlook for the next six months could bring further declines.
“A perceived softening in present-day business and employment conditions are the major reasons behind this month’s pull-back in confidence,” Lynn Franco, director of The Conference Board Consumer Research Center, said in a prepared statement. “Looking ahead, consumers remain rather subdued about short-term economic prospects. All in all, the glass remains half empty and half full.”
The Consumer Confidence Survey, based on a representative sample of 5,000 U.S. households, found that just 27.4 percent of consumers surveyed think present-day business conditions are “good,” down from 29 percent in May. Those saying conditions are “bad” increased to 16.4 percent from 14.6 percent. More consumers (21.1 percent) say jobs are currently “hard to get,” up from 19.7 percent last month, while those saying jobs are “plentiful” fell from 29.1 percent to 27 percent.
Consumers remain uncertain about short-term prospects, as those anticipating business conditions to improve in the next six months rose slightly to 16.1 percent from 15.3 percent, while those expecting business conditions to worsen edged up to 11 percent from 10.2 percent.
Those expecting more jobs in the months ahead grew to 14 percent from 13.6 percent, while those anticipating fewer jobs increased to 17 percent from 15.6 percent. The proportion of consumers expecting their incomes to increase in the months ahead was relatively unchanged at 18.7 percent.