Share
WASHINGTON — U.S. consumer confidence inched up this month, showing signs of stabilizing, but remained near a six-year low in the face of the widespread business shutdowns that have sent the economy into recession.
The Conference Board said Tuesday that its confidence index ticked up to a reading of 86.6 in May from 85.7 in April. The index, which reflects consumers’ assessments of present conditions and expectations about the future, had plummeted during the previous two months. The index had reached 130.7 in February before tumbling about 12 points in March and by more than 20 in April.
The coronavirus pandemic has forced businesses across the country to close, stifling consumer spending, which drives about 70% of all economic activity in the the United States. Optimism about the economy in general has improved slightly as states have gradually lifted shelter-in-place orders and many categories of businesses have been allowed to reopen under certain restrictions.
Consumers Were More Optimistic About the Short-Term Outlook
“Following two months of rapid decline, the free-fall in confidence stopped in May,” said Lynn Franco, senior director of economic indicators at the Conference Board. ”Short-term expectations moderately increased as the gradual re-opening of the economy helped improve consumers’ spirits.”
The present conditions index, based on how consumers feel about current business and labor market conditions, declined slightly from 73 to 71.1. The proportion of consumers who described business conditions as “good” fell from 19.9% to 16.3%, while those who characterized business conditions as “bad” rose from 45.3% to 52.1%.
Consumers were more optimistic about the short-term outlook. The proportion who expect business conditions to improve over the next six months rose from 39.8% to 43.3%. Those who foresee business conditions worsening declined from 25.1% to 21.4%.
RELATED TOPICS:
Former Madera Charter School Executive Charged With Embezzling Federal Funds
6 hours ago
US Appeals Court Will Not Lift Limits on Associated Press Access to White House
6 hours ago
Fresno Shooting Leaves One Dead, Authorities Looking for Witnesses
8 hours ago
Epstein Files Fight Leads US House Republicans to Start Summer Break a Day Early
9 hours ago
Obama Reiterates Conclusion of Attempted Russian Interference in 2016 Election
9 hours ago
What Do Fresno Families Pay in Taxes? Study Says 11th Lowest Rate in Nation
10 hours ago
Trump Announces Trade Deal With Japan, Including 15% Tariff
5 hours ago
Categories

Trump Announces Trade Deal With Japan, Including 15% Tariff

Why American Jews No Longer Understand One Another

Visalia DUI Operation Nets 17 Arrests Over Weekend

Former Madera Charter School Executive Charged With Embezzling Federal Funds

US Appeals Court Will Not Lift Limits on Associated Press Access to White House
