Consumer Confidence Sees Smaller Increase than Expected
February 25, 2020
Consumer confidence got a much smaller than expected bump in February, as consumers’ view of the current economy softened. The Conference Board’s consumer confidence index came in at 130.7 for the month, up slightly from 130.4 last month. Economists had expected an increase to 132.6.
Much of the muted growth is attributed to the index’s present situation component. This index, which tracks consumers’ opinion of the current business and labor environment, fell from 173.9 in January to 165.1 in February.
Economists for the Conference Board noted that despite the big drop, consumers’ view of the current conditions remains favorable, as do their views on the short-term future, meaning solid consumer spending and economic growth is expected in the near future.