The Consumer Confidence Index improved in February to 112.5 points (1985 = 100), an increase from its January level of 110.2 and its highest level since August 2001’s 114.0, the Conference Board announced today.
The board’s Present Situation Index, reflecting consumer’s assessments of current conditions, rose 139.0 points from January’s 133.9.
The percentage of consumers saying jobs are “hard to get” declined to 17.5 percent – a five-and-a-half-year low – from January’s 19.7 percent. But those jobs saying are “plentiful” also decreased, to 27.7 percent from January’s 29.6 percent.
“Consumer Confidence now stands at a five-and-a-half year high, as improving present-day business conditions and an easing in the proportion of consumers claiming jobs are hard to get have combined to lift consumers’ spirits,” said Lynn Franco, director of the Conference Board Consumer Research Center.
“Looking ahead six months, consumers’ outlook was little changed from last month,” she noted. The Expectations Index edged up to 94.8 points from January’s 94.4 as the share of respondents saying business conditions will worsen held steady at 8.0 percent while those expecting them to improve edged up to 16.7 percent, from January’s 16.3 percent.
“All in all,” Franco said, “it appears that the pace of economic growth exhibited in the final months of 2006 has carried over into early 2007 and may have even gained a little momentum.”
The Consumer Confidence Index is based on a monthly survey of 5,000 U.S. households by TNS. For additional information, visit www.conference-board.org.
