Key facts
- U.S. consumer confidence increased to 91.2 in June from a revised 90.6 in May.
- Lower gasoline prices contributed to the rise in confidence.
- Perceptions of the labor market worsened, with 22.5% of consumers finding jobs 'hard to get'.
- This is the highest reading for jobs being 'hard to get' since January 2021.
U.S. consumer confidence saw a modest increase in June, according to a survey by The Conference Board. The index rose to 91.2, up from a revised 90.6 in May, surpassing economists' expectations of 94.7. This uptick was partly attributed to a decline in gasoline prices, which dipped below $4 a gallon in mid-June for the first time since late February.
However, the survey also revealed a deterioration in how households perceive the labor market. The percentage of consumers reporting that jobs are 'hard to get' increased to 22.5%, the highest level seen since January 2021. Economists had anticipated a stronger rise in the overall confidence index.
Dana Peterson, chief economist at The Conference Board, noted that while appraisals of current business conditions were slightly more positive, perceptions of the labor market softened significantly. Consumers anticipate little improvement in the labor market over the next six months.