Key facts
- U.S. consumer confidence fell to 90.8 in July, down from a revised 92.2 in June.
- The decline missed economists' expectations for an increase to 92.3.
- Consumers' assessments of current business conditions and the labor market softened.
- The Expectations Index remained unchanged at 74.7, with expectations for household incomes moderating but remaining optimistic.
- References to jobs and unemployment increased slightly in consumer write-in responses.
U.S. consumer confidence declined in July, with the Conference Board's index falling to 90.8 from an upwardly revised 92.2 in June. This figure fell short of the 92.3 forecast by economists polled by Reuters. The survey indicated that consumers' assessments of current business conditions and the labor market softened for a third consecutive month.
The Present Situation Index, which measures consumers' views on current business and labor market conditions, decreased by 3.6 points to 114.9. The Expectations Index, reflecting consumers' short-term outlook, remained unchanged at 74.7. While expectations for household incomes moderated, they remained optimistic overall. However, consumers anticipate little improvement in business conditions over the next six months, though labor market expectations were slightly less negative.
Consumers' written responses indicated continued pessimism about the economy, with mentions of jobs and unemployment picking up slightly. References to prices, oil, and gas eased in frequency but remained elevated, while comments about food and grocery prices increased. Mentions of war and geopolitics decreased during the survey period.