US Consumer Confidence Rebounds in June

By Fan-Yu Kuo
NAHB – Eye on Housing
July 5, 2023
Category: Finance & Economics
Region: United States

Consumer confidence in June rose to its highest level in 17 months as recession concerns eased. However, spending plans were mixed. Vacation intentions continued to improve, while the intention to buy homes and big-ticket appliances cooled further due to elevated mortgage rates. This shift in consumer preference from goods to services is likely to continue this year. The Consumer Confidence Index, reported by the Conference Board, increased 7.2 points from 102.5 to 109.7 in June, the highest level since January 2022. The Present Situation Index rose 6.4 points from 148.9 to 155.3, and the Expectation Situation Index climbed 7.8 points from 71.5 to 79.3, the highest since December 2022. However, it’s still lingering around 80 – a level associated with a recession. Consumers’ assessment of current business conditions improved in June. The shares of respondents rating business conditions “good” rose by 4.0 percentage points to 23.7%.

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